In the Real Business Cycle Model,business Cycles Are

question 26

Multiple Choice

In the real business cycle model,business cycles are

• A)efficient and do not represent lost output.
• B)driven by technology shocks.
• C)occur when markets clear.
• D)all of the above.
• E)None of the above

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Definitions:

Unattainable Production

A situation where the level of production desired cannot be achieved with the available resources or technology.

Hybrid Cars

Vehicles that use a combination of an internal combustion engine and one or more electric motors to reduce fuel consumption and emissions.

Opportunity Cost

The value of the best alternative forgone when a decision is made over others.

Hybrid Cars

Vehicles powered by a combination of an internal combustion engine and one or more electric motors, using less fuel and emitting less CO2 than conventional vehicles.