Multiple Choice
According to real-business-cycle theory,
A) monetary factors affecting aggregate demand cause macroeconomic instability.
B) recessions result from declines in long-run aggregate supply, rather than decreases in aggregate demand.
C) when real wages fall during recessions, "real" unemployment rates rise.
D) the net long-run costs of business fluctuations are severe.
Correct Answer:
Verified
Correct Answer:
Verified
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