Which of the Following Pieces of Evidence Is Most Consistent

question 293

Multiple Choice

Which of the following pieces of evidence is most consistent with the real business cycle theory?

• A) Labor supply decisions do not seem to depend on real interest rates.
• B) Real GDP and the quantity of money move closely together.
• C) Money wage rates take some time to adjust to price changes.
• D) Productivity and GDP move closely together.

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Definitions:

Naturalistic Intelligence

An intelligence type proposed by Howard Gardner that involves the ability to recognize, categorize, and draw upon certain features of the environment.

S Factors

In the context of intelligence, S factors refer to specific intelligence abilities, as distinguished from general intelligence.

Crystallized Intelligence

The capacity to apply acquired knowledge and past experiences.

Fluid Intelligence

The capacity to reason and solve novel problems, independent of any knowledge from the past.