The real business cycle theorists say that changes in total factor productivity are totally the result of:
A) depressions.
B) shifts in aggregate supply.
C) shifts in aggregate demand.
D) uneven technological progress.

Question

Quizplus · Accepted Answer

Real business cycle theorists argue that changes in total factor productivity are driven solely by uneven technological progress rather than shifts in aggregate supply, shifts in aggregate demand, or depressions. They suggest that fluctuations in the economy are natural and self-correcting responses to changes in technology and productivity, rather than the result of external shocks or policy interventions.

The Real Business Cycle Theorists Say That Changes in Total