Which Theory Assumes That Business Cycles Occur Because of Changes

question 182

Multiple Choice

Which theory assumes that business cycles occur because of changes in business confidence?

• A) Keynesian cycle theory
• B) real business cycle theory
• C) new classical cycle theory
• D) monetarist cycle theory

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Definitions:

Right Atrium

The right upper chamber of the heart that receives deoxygenated blood from the body and pumps it to the right ventricle.

Largest Artery

The largest artery in the human body is the aorta, which carries oxygenated blood from the heart to the rest of the body.

Aorta

The largest artery in the body, originating from the left ventricle of the heart and extending down to the abdomen, distributing oxygenated blood to all parts of the body.

Right Ventricle

The lower right chamber of the heart that receives deoxygenated blood from the right atrium and pumps it to the lungs for oxygenation.