An Unexpected Decrease in Aggregate Demand Will Trigger a Recession

question 268

Multiple Choice

An unexpected decrease in aggregate demand will trigger a recession in the ________ theory of the business cycle.

• A) new Keynesian cycle
• B) new classical cycle
• C) real business cycle
• D) Both answers A and B are correct.

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Definitions:

Demographic Changes

Shifts in the composition of a population over time, including factors like age, race, and gender distributions.

Total Fertility Rate

The average number of children that would be born to a woman over her lifetime, given current birth rates at each age.

African American

A term used to describe Americans of African ancestry, particularly those whose ancestors were enslaved and brought to the United States.

Latino Populations

Communities or demographic groups in the United States consisting of individuals from Latin American countries or backgrounds.