The New Keynesian Cycle Theory of the Business Cycle Regards

question 161

Multiple Choice

The new Keynesian cycle theory of the business cycle regards as the main source of economic fluctuations.

• A) expected fluctuations in aggregate supply
• B) unexpected fluctuations in aggregate demand
• C) changes in business confidence
• D) expected and unexpected fluctuations in aggregate demand

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Definitions:

Net Float

The difference between checks written against a checking account and those that have been cleared by the bank.

Net Collection Float

The net collection float is the time difference between when a check is deposited into a bank account and when the funds become available for use, essentially measuring the delay in bank processing.

BAT Model

Behavioral Adjustment Training Model, a framework used to manage or change certain behaviors, not a term typically associated with standard economics or finance.

Securities Trading Costs

Expenses associated with the buying and selling of securities, including brokerage fees, commissions, and taxes.