Final answer:
The typical time lag for fiscal policy is likely longer than for monetary policy due to the recognition lag, the legislative lag required for bills to pass, and the implementation lag for funds to be dispersed.
Step-by-step explanation:
When considering the timing problems associated with fiscal policy such as inside/outside lags, it's essential to understand the differences between fiscal policy and monetary policy. Monetary policy can be adjusted more frequently within a year whereas fiscal policy tends to have a longer process due to various stages.
These stages include the recognition lag, the time required to determine an economic downturn, the legislative lag, the time it takes for fiscal policy bills to be passed through the government, and the implementation lag, the dispersal period for the allocated funds to reach their designated programs. Overall, the typical time lag for fiscal policy is likely to be longer due to these necessary but time-consuming steps.