Over a business cycle, the quantities of capital, human capital, and entrepreneurial talent
A)change gradually and do not fluctuate much.
B)are completely unpredictable and cannot be forecast.
C)cycle more than real GDP.
D)are constant and do not change.
E)cycle alongside real GDP.

Question

Quizplus · Accepted Answer

The quantities of capital, human capital, and entrepreneurial talent change gradually over time and do not fluctuate as much as real GDP, which is more sensitive to short-term economic changes.

Over a Business Cycle, the Quantities of Capital, Human Capital