Which of the Following Is the Factor That Leads to Business

question 85

Multiple Choice

Which of the following is the factor that leads to business cycles in the monetarist business cycle theory?

• A) an unexpected change in aggregate demand
• B) a change by the Fed in the growth rate of the quantity of money
• C) a change in business confidence
• D) a change in the growth rate of productivity

---

Definitions:

Separation of Powers

A model for governance that divides the state's powers into distinct branches to prevent any one branch from gaining too much power.

Constitution

The fundamental principles and established precedents according to which a state or other organization is governed.

Tyranny

The oppressive and cruel use of power by a ruler or governing body, often without the consent of the governed.

Shays' Rebellion

An armed uprising in Western Massachusetts in 1786-1787, led by Daniel Shays, protesting fiscal policies and perceived economic injustices.