Fiscal policy often has a hard time balancing short-term help with long-term stability. Here are some reasons why:

1. Timing Lags:

   • Finding out there’s an economic problem can take time.
   • Putting new policies into action also takes time, which can lead to delays.

2. Political Constraints:

   • Because voters want quick help, short-term solutions often get priority.
   • Long-term plans might not be popular with the public or politicians.

3. Funding Limitations:

   • When the government spends more money for quick relief, it can create budget issues.
   • If debt becomes too high, it can limit what the government can do in the future.

4. Structural Issues:

   • Quick fixes may overlook deeper economic problems.
   • Relying too much on tax changes can slow down growth.

To tackle these challenges, it’s important to work together:

• Use automatic stabilizers, like unemployment benefits, to provide immediate help.
• Gain support from both political sides for long-term projects, like building roads or improving schools, to make sure the economy grows steadily.

By balancing these strategies, we can encourage both quick recovery and a strong economy for the future.