A business cycle fact is that real wages are pro-cyclical. Using the classical labor market as we have all semester, show and explain how the classical economists explained this business cycle fact. Draw a and label a labor market diagram and production function showing exactly how the classical economists explain this business cycle fact. Start with an initial equilibrium labeled as point A and then move to the new equilibrium as point B, explain shifts and caues of shifts. Explain cyclicality of average labor productivity from point A to point B and identify average labor productivity in your graph of the production function