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List and Describe Three of the Five Different Lags That

question 38

Essay

List and describe three of the five different lags that can occur which may impede the effectiveness of the use of fiscal policy.


Definitions:

Per-worker Production

A measure of productivity calculated by dividing the total output by the number of workers.

Production Possibilities Frontier

A curve depicting all maximum output possibilities for two goods, given a set of inputs and production technology.

Economic Growth

An increase in the production of goods and services in an economy over a period of time, often measured by GDP.

Simon Kuznets

Simon Kuznets was a Nobel Prize-winning economist known for his work on economic growth and for developing the concept of Gross National Product (GNP).

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