The real business cycle theory views fluctuations in the quantity of money as the main source of business cycles.

Name: The real business cycle theory views fluctuations in the quantity of money as the main source of business cycles.
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Question

Quizplus · Accepted Answer

Real business cycle theory attributes fluctuations in economic activity to real (non-monetary) factors, such as changes in technology or productivity, rather than to changes in the quantity of money.

The Real Business Cycle Theory Views Fluctuations in the Quantity