According to the Real Business Cycle Model,a Rightward Shift in the Long-Run

question 36

Multiple Choice

According to the real business cycle model,a rightward shift in the long-run aggregate supply schedule would be caused by ________.

• A)a negative supply shock
• B)an increase in aggregate demand
• C)a positive supply shock
• D)a decrease in aggregate demand

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Definitions:

Freud's Theory

Refers to the psychoanalytic theory developed by Sigmund Freud, which emphasizes the role of unconscious processes, childhood experiences, and sexual desires in shaping behavior and personality.

Jung

Carl Jung, a Swiss psychiatrist and psychoanalyst who founded analytical psychology, known for his concepts of the collective unconscious and archetypes.

Deterministic

The philosophy that all events, including moral choices, are completely determined by previously existing causes.

Behavioural Theories

A group of psychological theories suggesting that behavior is learned through interactions with the environment.