Fiscal policy has a long lag mainly because a. policymakers at the Federal Reserve do not meet
Question:
Fiscal policy has a long lag mainly because
a. policymakers at the Federal Reserve do not meet frequently.
b. firms making investments are slow to respond to changes in interest rates.
c. the political process is slow to enact changes in government spending or taxes.
d. consumers are slow to respond to changes in their after-tax incomes.
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