Multiple Choice
In the real business cycle model,an increase in current total factor productivity
A) increases investment demand.
B) decreases investment demand.
C) has no impact on investment demand.
D) has an ambiguous effect on investment demand.
Correct Answer:
Verified
Correct Answer:
Verified
Q21: Real business cycle theory was introduced by<br>A)
Q22: In the coordination failure model,the "good" equilibrium
Q23: In real business cycle theory,the persistence of
Q25: If,in the coordination failure model,the nominal money
Q27: The real business cycle model best explains
Q28: In the coordination failure model,the most likely
Q29: According to real business cycle theory<br>A) monetary
Q30: Business cycle models with flexible prices<br>A) are
Q31: In the coordination failure model,a rightward shift
Q32: There are several competing models of the