Question

Do you think policymaking in this country is working as well as it could or should? Why or why not?

Answer 1

Policy making is very important and is always works. But the problem is there is a time lag in large economies as policy works through multiple channels. The time lag is the time between policy required and policy enacted. For eg, the recession is now and by the time Government realizes there is a recession and makes policy to increase public expenditure, the recession is over and now this policy will add the problem of inflation.

The focus should be on reducing time lag and making these delivery channels effective.