What, according to the mainstream theory of the business cycle, is the most common source of recession:
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What, according to the mainstream theory of the business cycle, is the most common source of recession: a decrease in aggregate demand, a decrease in aggregate supply, or both? Which is the most likely component of aggregate demand to start a recession? How does the aggregate demand multiplier influence a recession?
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According to mainstream theory fluctuations in aggregate demand are the major source of re...View the full answer
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