Multiple Choice
Which of the following is not a primary cause of business cycle fluctuations, according to real business cycle theory?
A) a change in the production function
B) a change in the size of the labour force
C) a change in the money supply
D) a change in the real quantity of government purchases
Correct Answer:

Verified
Correct Answer:
Verified
Q3: Labour hoarding occurs<br>A)when firms keep good workers
Q12: How is the Solow residual measured? What
Q17: According to the misperceptions theory,if the Bank
Q26: When RBC economists compare the volatility in
Q28: In the classical model,a temporary increase in
Q36: Assuming money neutrality in the classical model,a
Q40: Why does a temporary increase in government
Q44: Critics of the RBC approach argue that
Q74: Measures of the Solow residual show it
Q96: Why do many economists believe that money