A usual assumption in real business cycle models is that the economy is populated by a group of identical individuals and the behavior of the group can then be explained in terms of the behavior of one individual, called a-------------

Related MCQs

• In real business cycle models and new classical models
• In real business cycle models, business cycles are caused by ------------------,while in new Keynesian model business cycles are caused by-------------------
• Real business cycle and new Keynesian models disagree upon
• The aggregate production function for real business cycle models is shown as
• In the real business cycle model, business cycles are
• According to the real business cycle theory business cycles
• The real business cycle theory and the new classical theory agree that
• The real business cycle theory is most closely related to
• Real business cycle proponents argue that
• Which of the following shocks have been emphasized most often with respect to real business cycle story?