Which of the Following Models Focuses on How Productivity Shocks

question 113

Multiple Choice

Which of the following models focuses on how productivity shocks explain fluctuations in real GDP?

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

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Definitions:

Cash Collections

The process of gathering monies that are owed to a business by its customers or clients.

Beginning Inventory

The value of goods available for sale at the start of an accounting period, prior to any purchases or production during the period.

Ending Inventory

The value of goods available for sale at the end of an accounting period after goods sold are subtracted.

August Sales

The total sales revenue generated by a business during the month of August.