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    Money Banking and Financial Markets Study Set 2
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    Exam 22: Understanding Business Cycle Fluctuations
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    Real Business Cycle Theory Seeks to Explain Business Cycle Fluctuations
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Real Business Cycle Theory Seeks to Explain Business Cycle Fluctuations

Question 39

Question 39

Multiple Choice

Real business cycle theory seeks to explain business cycle fluctuations by focusing on:


A) Shifts in potential output
B) The inflexibility of prices and wages
C) Aggregate demand
D) Changes in monetary policy

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