The Key Ripple Effect in Real Business Cycle Theory Is

Multiple Choice

The key ripple effect in real business cycle theory is the _______ decision and it depends on the _______.

A) when- to- invest; real interest rate
B) when- to- work; real interest rate
C) where- to- work; real wage rate
D) what- to- save; nominal interest rate
E) when- to- work; rigidity of the money wage rate