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    Macroeconomics Study Set 12
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    Exam 17: New Classical Macro and New Keynesian Macro
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    According to the Real Business Cycle Model Real Wages Should
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According to the Real Business Cycle Model Real Wages Should

Question 139

Question 139

Multiple Choice

According to the Real Business Cycle model real wages should


A) remain constant.
B) fall during recessions.
C) rise during recessions.
D) stay the same during recessions but rise during expansions.

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