The states that the main source of economic fluctuations is volatile business confidence.
A) Keynesian cycle theory
B) new classical cycle theory
C) monetarist cycle theory
D) real business cycle theory

Question

Quizplus · Accepted Answer

The statement about the main source of economic fluctuations being volatile business confidence aligns with the Keynesian cycle theory, which emphasizes the importance of changes in aggregate demand as a driver of economic cycles. The other theories listed place greater emphasis on factors like changes in the money supply or technological shocks.

The States That the Main Source of Economic Fluctuations Is