Time Lags in Fiscal Policy

Essay specific features

 

Issue:

Business

 

Written by:

Mildred V

 

Date added:

September 21, 2012

 

Level:

University

 

Grade:

A

 

No of pages / words:

2 / 434

 

Was viewed:

943 times

 

Rating of current essay:

 
Essay content:

Trying to forecast the economy is like trying to forecast the weather. When policy makers make mistakes, they create proverbial rain at our picnic. When the economy starts to slow down, government officials try to get the economy to run at its full potential again. The problem with this is that sometimes, the economy can correct itself without policies being established...
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There are usually delays, or lags in the policies being implemented. Just like normal, regular people, there are times that policy makers are slow to realize that there is problem that needs correcting. When they finally realize that there is an issue at hand, it may take the policy makers time to react...
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