According to the Real Business Cycle Model

question 71

Multiple Choice

According to the real business cycle model,

• A)changes in money growth cause output fluctuations in both the short run and long run.
• B)changes in money growth cause output fluctuation in the long run, but not in the short run.
• C)there is no causal link between the money supply and output.
• D)most observed changes in the money supply are independent of previous changes in output.

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