What Do RBC Economists Mean by the Term Calibration

question 30

Multiple Choice

What do RBC economists mean by the term calibration?

• A)modifying the structure of an economic theory to strengthen its logic
• B)changing a theory as the economy changes
• C)working out a detailed numerical example of a more general theory
• D)writing out the implication of a theory for all the main economic variables

---

Definitions:

Reinforcement

In psychology, a process by which a stimulus increases the probability of the behavior that it follows.

Smoke Less

To reduce the frequency or amount of tobacco smoking.

Healthy Diet

A pattern of eating that includes a balance of diverse foods providing nutrients and energy needed for good health and well-being.

Total Carbohydrate

The sum of sugars, starches, and dietary fiber found in foods, often measured in grams on nutritional labels.