Multiple Choice
The factor that leads to business cycle events within real business cycle theory is represented by
A) changes in the growth rate in productivity.
B) changes in the growth rate in the quantity of money.
C) adverse shocks to international trade.
D) changes in expected future sales and profits of firms.
Correct Answer:
Verified
Correct Answer:
Verified
Q295: A decrease in the natural unemployment rate
Q296: During a deflation, the nominal interest rate
Q297: Which of the following could start a
Q298: The Phillips curve describes the relationship between
Q299: In Figure B above, which of the
Q301: Real business cycle (RBC) theory predicts that
Q302: "The short-run Phillips curve shows the relationship
Q303: The long-run Phillips curve slopes downward.
Q304: In a cost-push inflation,<br>A) increases in AD
Q305: The start of a cost-push inflation results