Economists who are skeptical of the Fed's ability to fine tune the economy argue that lags in the effect of monetary policy make it difficult to properly time this policy. monetary policy only affects output in the long run. Fiscal policy affects output more quickly than monetary policy. Monetary policy does not have any effect on output.

Economists who are skeptical of the Fed's ability to fine tune the economy argue that lags in the effect of monetary policy make it difficult to properly time this policy. monetary policy only affects output in the long run. Fiscal policy affects output more quickly than monetary policy. Monetary policy does not have any effect on output.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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