The Time Between Which an Economic Shock Is Recognized and When

question 177

Multiple Choice

The time between which an economic shock is recognized and when the government passes a plan to carry out a policy response is called the:

• A) recognition lag.
• B) legislative lag.
• C) effectiveness lag.
• D) adjustment lag.

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Definitions:

Debtors

Individuals or entities that owe money to another party, typically as a result of receiving a loan or credit.

Exemptions

Provisions that allow certain individuals or entities to be excused from observing a particular law or regulation.

Chapter 11

A chapter of the U.S. Bankruptcy Code that provides for reorganization, usually involving a corporation or partnership, allowing the debtor to keep its business alive and pay creditors over time.

Chapter 13

A form of bankruptcy in the United States that allows individuals with a regular income to reorganize their debts and make a plan to repay all or part of them.