When economists use the term real business cycle the... - Solved MCQs & Answer

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When economists use the term real business cycle theory they are suggesting that business cycles are caused by?

AShifts in aggregate supply

Bbusiness expectations

Cbusiness confidence

Dchanges in export demand due to the state of the world economy

Correct answer

A. Shifts in aggregate supply

Explanation

The correct answer is Shifts in aggregate supply.

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