The "No - Markets Fail Often" camp argues that
A) interest rates are more important than expectations for business investment decisions.
B) most shocks are external to the economy.
C) supply shocks are more important than demand shocks for explaining business cycles.
D) business expectations are quickly changeable.
E) government is part of the problem of business cycles.

Question

Quizplus · Accepted Answer

The "No - Markets Fail Often" camp argues that business expectations are quickly changeable, which supports the importance of unexpected events in shaping the economy.

The "No - Markets Fail Often" Camp Argues That