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    Macroeconomics Study Set 41
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    Exam 12: U.S Inflation, Unemployment, and Business Cycle
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    According to the Real Business Cycle RBC) Theory, During a Recession
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According to the Real Business Cycle RBC) Theory, During a Recession

Question 366

Question 366

Multiple Choice

According to the real business cycle RBC) theory, during a recession the demand for labor_________and the supply of labor _________.


A) does not change; decreases
B) decreases; decreases
C) increases; decreases
D) decreases; does not change

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