In Real Business Cycle Models and New Classical Models

question 47

Multiple Choice

In real business cycle models and new classical models

• A)monetary factors are responsible for fluctuations in output and employment.
• B)changes in unemployment are involuntary.
• C)markets always clear.
• D)prices and wages are perfectly flexible.
• E)none of the above.

---

Definitions:

Edo Period

A period in Japan from 1603 to 1868 characterized by the rule of the Tokugawa shogunate, notable for its cultural development, social order, and isolationist foreign policy.

Court Ceremony

Formal rituals, traditions, or practices conducted in the royal court or the court of a monarch, often involving elaborate protocol.

Momoyama Period

A cultural period in Japan from 1573 to 1603, characterized by lavish art, castle construction, and the development of tea ceremony and Noh theater.

White Heron Castle

Another name for Himeji Castle, a historic castle in Japan, known for its impressive architecture and white exterior.