To Support the RBC Approach According Which Productivity Shocks Generate

Multiple Choice

To support the RBC approach according which productivity shocks generate inflation and recession at the same time,the RBC theorists argue that

A) the conventional approach that inflation is procyclical is consistent with the pre-World War II economy.
B) the structure of the economy and the types of shocks have changed since the Great Depression.
C) the oil supply shocks in the 1970s caused the price level to rise while output fell.
D) all of the above.