The growth rate of productivity is a major feature of
A) monetarist economists.
B) real business cycle economists.
C) Keynesian and monetarist economists.
D) why the marginal propensity to consume is less than 1.0.

Question

Quizplus · Accepted Answer

The growth rate of productivity is a key component of real business cycle theory, which suggests that changes in productivity are the primary driver of business cycles. Monetarist and Keynesian economists also recognize the importance of productivity growth, but it is not a defining feature of their theories. The marginal propensity to consume is not directly related to productivity growth.

The Growth Rate of Productivity Is a Major Feature of