Monetary policy does not usually take effect at once. Which time lag is likely to worry a government least if its main aim is a quick domestic effect?
- Athe time it takes for policymakers to recognise the cause of a problem
- Bthe time it takes for the economy to respond to the introduction of the policy
- Cthe time it takes for the foreign exchange rate to respond to the effect of the policy
- Dthe time it takes to put the chosen policy measure into place