Which of the following are business cycle theories that regard fluctuations in aggregate demand as the factor creating business cycles?
I. Keynesian cycle theory
II. real business cycle theory
III. monetarist cycle theory

Question

Quizplus · Accepted Answer

Keynesian cycle theory and monetarist cycle theory both attribute fluctuations in aggregate demand as the main factor creating business cycles. Real business cycle theory, on the other hand, emphasizes fluctuations in productivity and technology as the primary cause of business cycles. Therefore, only option C, which includes Keynesian cycle theory and monetarist cycle theory, is correct.

Which of the Following Are Business Cycle Theories That Regard