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  3. Study Set
    Macroeconomics Study Set 2
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    Exam 13: Business Cycle Models with Flexible Prices and Wages
  5. Question
    In the Real Business Cycle Model,an Increase in Current Total
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In the Real Business Cycle Model,an Increase in Current Total

Question 14

Question 14

Multiple Choice

In the real business cycle model,an increase in current total factor productivity leads to


A) an increase in investment.
B) a decrease in investment.
C) no change in investment.
D) an ambiguous response of investment.

Correct Answer:

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