A ________ Macroeconomist Believes That Business Cycle Fluctuations Are the Efficient

question 114

Multiple Choice

A ________ macroeconomist believes that business cycle fluctuations are the efficient responses of a well-functioning market economy that is bombarded by shocks that arise from the uneven pace of technological change. A ________ macroeconomist believes that the short-run aggregate supply curve is horizontal at a fixed price level.

• A)new classical; monetarist
• B)classical; monetarist
• C)Keynesian; new Keynesian
• D)new classical; new Keynesian
• E)monetarist; new classical

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Definitions:

Expected Value

A statistical concept that calculates the average outcome of a random event when the process is repeated many times.

Dipstick

A tool used for measuring the quantity or level of fluid in a reservoir, notably oil in an engine.

Al Crankcase

Aluminium crankcase refers to the housing for the crankshaft in a reciprocating internal combustion engine, made from aluminum.

Sealed-Bid

A bidding process where all bids are submitted secretly, and the highest bid usually wins, often used in auctions or tendering processes.