But I would reiterate a point I’ve made before (Ellis 2014): if you aren’t taking stocks and flows seriously, you probably don’t have a realistic model of the economy. Learning lags The third type of lag that I identify, I’ve loosely termed ‘learning lags’. This is the time taken to effect an intellectual change in a person or group of people.
This might include additional money for education and training, which by adding to human capital, would help maintain the production capacity of the world economy. But if there is one thing that all governments can do to stimulate demand, it is to have appropriate structural policies, and I stress the word "appropriate." Structural policies that promote economic flexibility are important in all circumstances.