If output begins to grow substantially faster than capital and labor inputs,then the real business cycle model predicts,ceteris paribus,________.
A) an increase in inflation
B) a decrease in employment
C) a decrease in investment
D) a business cycle expansion
Correct Answer:
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Q1: In the aggregate production function Y =
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Q4: In the real business cycle model,fluctuations in
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Q6: The complete wage and price flexibility of
Q7: According to real business cycle theory,a likely
Q8: The primary source of shocks to potential
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A)deadweight loss
B)the
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