Asked by Claire Fledderman on Jun 15, 2024
Verified
Most business cycle theories are
A) endogenous.
B) exogenous.
C) both endogenous and exogenous.
D) neither exogenous nor endogenous.
Business Cycle Theories
Various economic theories that attempt to explain the causes and dynamics of the business cycle, including expansions and contractions in economic activity.
Endogenous
Originating from within an economic model or system; refers to factors that are explained by the internal workings of the model.
Exogenous
Factors or variables that are external to the economic model and not determined within the model itself.
- Analyze the factors contributing to business cycles and their impact on unemployment.
Verified Answer
ML
Makenna LambrechtJun 22, 2024
Final Answer :
A
Explanation :
Most business cycle theories are endogenous, meaning they explain economic fluctuations based on factors within the economy itself, such as changes in technology, consumer preferences, or monetary policy.
Learning Objectives
- Analyze the factors contributing to business cycles and their impact on unemployment.