What problems do long and variable lags present to the policymaker? If lags are long and fixed

Question:

What problems do long and variable lags present to the policymaker? If lags are long and fixed (rather than long and variable), do any problems remain?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Macroeconomics

ISBN: 978-0138014919

12th edition

Authors: Robert J Gordon

See More Books

Question Posted: Dec 09, 2015 03:21 AM

See More Questions

What is the relevance of Milton Friedmans phrase long and variable lags to this chapter?
What problems do marketing research directors face in their roles as managers?
What problems do estimating accounting earnings present?
Hardie Lord, Helen Murvis's boss, is not convinced that Helen used the correct decision technique. Hardie believes that Helen should use a coefficient of realism of 0.75 in determining the best...
Try to find the U.S. market share for the following companies using less than 30 minutes to do so: Home Depot Burger King Marlboro Google Was this task difficult? If so, why do you think it is...
Pendergast, Inc., has no debt outstanding and a total market value of $180,000. Earnings before interest and taxes, EBIT, are projected to be $23,000 if economic conditions are normal. If there is...
Is it better to use a soft spring in the flexible mounting of a machine? Why?
Root Shoe Company makes loafers. During the most recent year, Root incurred total manufacturing costs of $26,400,000. Of this amount, $2,100,000 was direct materials used and $19,800,000 was direct...
Suppose that Britain pegs the pound to gold at twenty pounds perounce, whereas the exchange rate between pounds and U.S. dollars is$1.5 = 1. What should an ounce of gold be worth in U.S. dollars?
Micro Facilities incurs the following costs during the year. A new patent is purchased for $602,000 from Techno Company. The patent gives Micro exclusive right to sell specialized data storage units....
In the Appendix to Chapter 4, the equations of the IS and LM curves are given as follows: IS: Y = k(Ap - br) LM: Y = [(Ms/P) + fr]/h Here, k = 1/[s(1 - t) + t + nx]. Let Ap = Ca - Ta + Ip + G + NXa,...
Why does multiplier uncertainty create a dilemma for policymakers?
A 2.50-kg rock is attached at the end of a thin, very light rope 1.45 m long. You start it swinging by releasing it when the rope makes an 11 angle with the vertical. You record the observation that...
What are the tasks needed when building and testing databases?
Sketch an isentropic and actual pumping process on a Ts diagram for a compressed liquid. Include the vapor dome and the pressure contours that pass through the initial and final states.
Who are the network designers and network administrators?
What is the purpose and the major activity of the construction phase?
What are the four common conversion strategies?
Fill in each blank with the correct response. For the arithmetic sequence having a n = 2n + 4, the term a 3 = _____.
$10,000 was borrowed at 3.5% on July 17. The borrower repaid $5000 on August 12, and $2000 on September 18. What final payment is required on November 12 to fully repay the loan?
Draw the supply-and-demand diagram for an importing country. What is consumer surplus and producer surplus before trade is allowed? What is consumer surplus and producer surplus with free trade? What...
The nation of Textilia does not allow imports of clothing. In its equilibrium without trade, a T-shirt costs $20, and the equilibrium quantity is 3 million T-shirts. One day, after reading Adam...
Consider a country that imports a good from abroad. For each of following statements, say whether it is true or false. Explain your answer. a. The greater the elasticity of demand, the greater the...
The following information relates to production activities of Mercer Manufacturing for the year. Actual direct materials used 16,800 pounds at $4.45 per pound Actual direct labor used 17,435 hours at...
The bond market is the largest global financial market. Corporations, municipalities, and governments need to raise funds constantly, and debt is one of the easiest and cheapest ways to do it. Equity...
Elbow Bend Hotel Rooms Information Total Rooms=100 Deluxe room=40 Executive rooms= 50 Suites= 10 Suites are 100% sold every month and the other two categories split the rest of the rooms sold...

What problems do long and variable lags present to the policymaker? If lags are long and fixed

Question:

Step by Step Answer:

If the lag in the policy effect is long and variable the policymaker cannot k...View the full answer

Macroeconomics

Students also viewed these Economics questions