Multiple Choice
The theory that real shocks to the economy are the primary cause of business cycles is
A) monetarism.
B) Keynesian theory.
C) real business cycle theory.
D) Hamiltonian theory.
Correct Answer:

Verified
Correct Answer:
Verified
Q44: Critics of the RBC approach argue that
Q45: The theory of rational expectations suggests that<br>A)people
Q46: The primary reason why the Fed cannot
Q47: According to classical economists,in recessions,the government should<br>A)stimulate
Q48: Use the classical IS-LM model to show
Q50: According to the misperceptions theory,when the price
Q51: The primary reason that short-lived shocks can
Q52: The distinction between real and nominal shocks
Q53: Classical economists would cite all of the
Q54: According to the misperceptions theory,an anticipated decline