The New Classical Theory Argues That the Primary Factor Leading

question 72

Multiple Choice

The new classical theory argues that the primary factor leading to business cycles is

• A)expected fluctuations in aggregate demand.
• B)expected fluctuations in short-run aggregate supply.
• C)unexpected fluctuations in aggregate demand.
• D)unexpected fluctuations in short-run aggregate supply.
• E)unexpected fluctuations in long-run aggregate supply.

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Definitions:

Psychoanalysis

A therapeutic technique and theory of psychology developed by Sigmund Freud, focusing on unconscious processes and resolving internal conflicts.

Sigmund Freud

A neurologist from Austria who initiated the field of psychoanalysis, which employs conversation between a psychoanalyst and a patient as a therapy for mental disorders.

Drug Therapy

The treatment of disease by the administration of drugs, as distinguished from surgery, radiation, etc., often specifically referring to the use of medication to treat mental health conditions.

ECT

Electroconvulsive Therapy is a psychiatric treatment in which seizures are electrically induced in patients to provide relief from severe mental disorders.