According to the real business cycle theory, technological advances:

Name: According to the real business cycle theory, technological advances:
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According to the real business cycle theory, technological advances increase the productivity of labor, which in turn leads to an increase in output and real wages. This is because the economy becomes more efficient and can produce more output with fewer resources. As a result, firms can afford to pay higher wages to workers and still earn a profit.

According to the Real Business Cycle Theory, Technological Advances