Which of the following describes the Keynesian approach to the business cycle?
I. Unanticipated shocks to aggregate supply drive expansions and recessions.
II. The Keynesian theory is a real business cycle model of the economy.
III. A decrease in business confidence can trigger a recession.
Which of the following are business cycle theories that regard fluctuations in aggregate demand as the factor that is creating business cycles?
I. Keynesian cycle theory
II. real business cycle theory
III. monetarist cycle theory