Question

It can be difficult for fiscal policy to influence the economy in the way the government hopes it will. All of the following are reasons for this EXCEPT:
A.
Banks may not start lending quickly enough to make a difference.
B.
Conditions in the economy may have changed by the time the policy is put into action.
C.
Taxing and spending solutions take time to work through Congress.
D.
There is a time gap between when a big problem begins and when it is recognized as such.


Please select the best answer from the choices provided

A
B
C
D

Answer 1

A.

Banks may not start lending quickly enough to make a difference.