Card 37 / 145: A real shock is also called a
A)
supply shock, which is any shock that increases or decreases the aggregate supply.
B)
productivity shock, which is any shock that increases or decreases the level of production.
C)
productivity shock, which is any shock that increases or decreases the potential growth rate.
D)
demand shock, which is any shock that increases or decreases the aggregate demand.
Answer:
C) productivity shock, which is any shock that increases or decreases the potential growth rate.
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