Briefly state and evaluate the problem of time lags in enacting and applying fiscal policy. How… 1 answer below »

Briefly state and evaluate the problem of time lags in enacting and applying fiscal policy. How… 1 answer below »

Briefly state and evaluate the problem of time lags in enacting and applying fiscal policy. How might “politics” complicate fiscal policy? How might expectations of a near term policy reversal weaken fiscal policy based on changes in tax rates? What is crowding out effect and why might it be relevant to fiscal policy?