According to the Real Business Cycle Theory, ________ Are Responsible

question 201

Multiple Choice

According to the real business cycle theory, ________ are responsible for economic growth.

• A) expansionary fiscal and monetary policies
• B) positive shifts in the AD curve
• C) trade and income policies
• D) positive shifts in the AS curve

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Definitions:

Prototype

In cognitive science, a prototype is a mental representation or best example of a category, facilitating faster recognition and categorization of similar stimuli.

Cognitive Dissonance

The mental discomfort experienced by a person who holds two or more contradictory beliefs, ideas, or values.

Displacement

A defense mechanism where negative feelings or impulses are redirected from the original object to a more acceptable or safer target.

Overextension

A linguistic error, common in early language development, where a child applies a word in a broader context than is appropriate.