Which of the Following Are Business Cycle Theories That Regard

question 315

Multiple Choice

Which of the following are business cycle theories that regard fluctuations in aggregate demand as the factor creating business cycles?
I. Keynesian cycle theory
II. real business cycle theory
III. monetarist cycle theory

• A) I and III
• B) I, II and III
• C) I and II
• D) I only

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Definitions:

Loans

A financial arrangement in which money is borrowed for a certain period of time, typically with interest.

Sampling Distribution

The probability distribution of a given statistic based on a random sample.

Histogram

A graphical representation of the distribution of numerical data, where the data is grouped into ranges (bins) and depicted as bars.

Coin Tosses

The act of flipping a coin to generate random outcomes of heads or tails, often used for decision-making.