The Model Predicts That in Response to a Permanent Positive

Q6: When the labour supply of households is

Q7: If technology, A, increases, then:<br>A)the MPK and

Q8: A higher interest rate makes:<br>A)future consumption cheaper.<br>B)future

Q9: When the marginal product of labour increases

Q10: The overall effect of a higher real

Q12: An increase in the level of technology,

Q13: An equilibrium business-cycle model:<br>A)uses shocks to GDP

Q14: With a temporary change in technology the

Q15: The model predicts that if there is

Q16: The cyclical part of real GDP is<br>A)trend