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Real Business Cycle Proponents Would Agree with All of the Following

Question 55

Multiple Choice

Real business cycle proponents would agree with all of the following except


A) the government's efforts to stabilize the economy can be counterproductive.
B) unanticipated changes in the money supply are destabilizing to the economy.
C) business cycles are a natural response to technology shocks.
D) markets are perfectly competitive.

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