IDENTIFICATION LAG: In the context of economic policies, the time between a shock to the economy and realization that the shock has occurred. This is one of several policy lags that limit the effectiveness of stabilization policies designed to correct business-cycle fluctuations. This is also one of two inside lags. The other is an implementation lag. Also termed recognition lag, the identification lag emerges due to the time needed to measure economic activity. While the lag is generally positive, it actually can be negative through accurate forecasting techniques. When negative policies can be undertaken to correct a problem before it occurs.

     See also | policy lags | inside lag | implementation lag | economic indicators | forecasting | outside lag | stabilization policies | business cycle |

IDENTIFICATION LAG, AmosWEB GLOSS*arama, http://www.AmosWEB.com, AmosWEB LLC, 2000-2025. [Accessed: March 26, 2025].

Back to the GLOSS*arama

The change in the quantity of total product resulting from a unit change in a variable input, holding all other inputs fixed. Marginal returns is an older and more generic term for marginal product. While marginal product has largely replaced marginal returns in most discussions of short-run production, the phrase does persist in a few terms like the law of diminishing marginal returns.

Complete Entry | Visit the WEB*pedia

Today, you are likely to spend a great deal of time strolling through a department store trying to buy either a solid oak entertainment center or a remote controlled ceiling fan. Be on the lookout for malfunctioning pocket calculators.
Your Complete Scope

This isn't me! What am I?

-- Bob Proctor, Author and Speaker

User Feedback