Multiple Choice
In the real business model,a persistent increase in total factor productivity causes
A) real wages to fall.
B) the price level to rise.
C) real interest rates to rise.
D) the output demand curve shifting less than the output supply curve.
E) the money supply to shift right.
Correct Answer:

Verified
Correct Answer:
Verified
Q22: An important critique of real business cycle
Q23: Using the New Monetarist Model and the
Q24: In the coordination failure model,increasing returns to
Q25: One potential weakness of the coordination failure
Q26: The phenomenon of underutilization of labour during
Q28: The coordination failure model is based on
Q29: Research by Amaral and MacGee find evidence
Q30: In the real business cycle model,a persistent
Q31: The real business cycle model best explains
Q32: In response to a financial liquidity shortage,if