Economistsuse the neoclassical growth model to explain fluctuations in the business cycle becausecan; the model shows how economic growth changes when the factors of production (capital, labour force and technology) change.O cannot; the model does not take into account technology changes.O cannot; the model only explains what determines the long term trends in output or output per labour.O can; as a long-run model, it captures business cycles over very long periods of time.O cannot; the model is more focused on government activity than private sector activity.O O

The business cycle can be defined as the continuous changes in the phases of the business cycle,…

Economists use the neoclassical growth model to explain fluctuations in the business cycle because O can; the model shows how economic growth changes when the factors of production (capital, labour force and technology) change. O cannot; the model does not take into account technology changes. cannot; the model only explains what determines the long term trends in output or output per labour. O can; as a long-run model, it captures business cycles over very long periods of time. O cannot; the model is more focused on government activity than private sector activity. O O O

Economists use the neoclassical growth model to explain fluctuations in the business cycle because O can; the model shows how economic growth changes when the factors of production (capital, labour force and technology) change. O cannot; the model does not take into account technology changes. cannot; the model only explains what determines the long term trends in output or output per labour. O can; as a long-run model, it captures business cycles over very long periods of time. O cannot; the model is more focused on government activity than private sector activity. O O O

MACROECONOMICS

14th Edition

ISBN:9781337794985

Author:Baumol

Publisher:Baumol

Chapter7: Economic Growth: Theory And Policy

Section: Chapter Questions

Problem 3TY

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Pls answer all 4 question in short 5-6 sentence only. I know as per guidline you are obliged to solve first one only. But I really need help with all fours. I will upvote you -)
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According to the real business cycle theory, what effects follow from a change in productivity? I. Investment demand changes. II. The demand for labour changes. III. Government expenditure changes. ..... O A. I B. I and II C. I and II O D. Il and III O E. I, Il and II
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QUESTION 8 Use the below graph to answer the question: Output per labour A E D B C Production function 3 Production function 2 Production function 1 Capital per labour
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