This is not the only example, but there are certain other situations as well where lag might be a problem.
While you can also refer to it as the response delay that occurs between the time a key is pressed on the keyboard and the time that the corresponding character appears on the screen. In a few words, it can be understood as the time difference between initiating a task and the action or result. Is your computer suffering from ‘slow responses’ or 'lag' problems? Commonly, lag is a term that is used in the context of online gaming.