Multiple Choice
This theory views shocks to tastes (workers' willingness to work,for example) and technology (productivity) as the major driving forces behind short-run fluctuations in the business cycle because these shocks lead to substantial short-run fluctuations in the natural rate of output.
A) the natural rate hypothesis
B) hysteresis
C) real business cycle theory
D) the Phillips curve model
Correct Answer:
Verified
Correct Answer:
Verified
Q20: The more willing monetary policymakers are to
Q21: A positive supply shock causes _ to
Q22: A temporary supply shock that raises prices<br>A)will
Q23: Positive spending shocks lead to _ inflation
Q24: Suppose the U.S. economy is producing at
Q26: In the long run,following a combination of
Q27: Everything else held constant,when output is _
Q28: Suppose the economy is producing at the
Q29: The aggregate supply curve is the total
Q30: A permanent negative supply shock leads to