Does it mean Fed's policy makes the US economy slow down? https://www.collinsdictionary.com/dictionary/english/lag
In an interview with Reuters on Wednesday, Cleveland Fed President Loretta Mester said, "I'm not one who would like to see inflation be at 2 percent before we continue on the path" of rate hikes because policy affects the economy with a lag.
Source: http://www.reuters.com/article/us-usa-Fed-minutes-idUSKCN1AW2AW