Which Theory Distinguishes Between Expected and Unexpected Fluctuations in Aggregate

question 95

Multiple Choice

Which theory distinguishes between expected and unexpected fluctuations in aggregate demand and argues that only unexpected changes can affect real GDP?

• A) new classical cycle theory
• B) Keynesian cycle theory
• C) monetarist cycle theory
• D) real business cycle theory

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Definitions:

Job Enrichment

The process of making a job more rewarding, engaging, and satisfying for the employees by adding more meaningful tasks and giving them more control over their work.

Motivational Theory

A theory that explores what drives individuals to initiate, direct, and sustain behaviors to achieve personal or organizational objectives.

Specialization

The degree to which jobs are narrowly defined and depend on unique expertise.

Job Variety

The degree to which a job involves different tasks, skills, and activities, often contributing to worker satisfaction and motivation.