宏观经济学：理论与政策（第九版）题库 9-CH12-TB

CHAPTER12:REALBUSINESSCYCLESANDNEW

KEYNESIANECONOMICS

ADDITIONALQUESTIONS

EssayQuestionsand/orProblems:

1.Explainwhatismeantbyarepresentativeagent.Whydorealbusinesscyclemodelsmakethis

assumption?Whatistheproblemwiththisassumption?

Arepresentativeagentmeansthatallindividualsareexactlythesamesothatdetermining

macroeconomicbehaviorisassimpleasaddingupthebehaviorofindividuals.Obviously,this

makesmacroeconomicanalysismuchsimpler.However,thisprohibitsthediscussionofthe

distributionaleffectsofeconomicoccurrences.

2.WhatwouldbetheexplanationoftheGreatDepressionofferedbyproponentsofrealbusinesscycle

models?Doyouseeanypotentialproblemswiththeirexplanations?

RealBusinessCyclemodelswouldexplaintheGreatDepressionascausedbyalarge,negative,and

persistentproductivityshock.Oneproblemwiththisanalysisisthatitisverydifficulttoidentify

exactlywhatthisshockcouldbe.AnotherproblemisthattheGreatDepressionwascharacterizedby

excesssupply,notafallinsupply,asevidencedbythefallingpricelevelthroughouttheGreat

Depression.

3.Numerousstudiesofthelabormarket(andyourownexperience)suggestthatthelabormarketis

becomingincreasinglyspecialized,meaningthateachjobincreasinglyrequiresauniquesetof

educationandjobtrainingskills.Analyzethisdevelopmentwithinthecontextofamodelof

efficiencywages.Whatimpactdoyouthinkthishasonunemployment?Wageflexibility?Howdo

youthinkthatfirmsrespondtothesedevelopments?Providegraphsofthelabormarkettoillustrate.

Thesedevelopmentsarelikelytoincreasethecostsoflaborturnoverandincreasethebenefitsof

hiringpeoplewithspecialskills.Inanefficiencywagemodel,thisshouldincreaseefficiencywages

andincreaseequilibriumunemployment.

4.Inwhatsenseisunemploymentvoluntaryinrealbusinesscycleandclassicalmodels?Inwhatsense

isunemploymentinvoluntaryinKeynesianandnewKeynesianmodels?

Intheclassicalandrealbusinesscyclemodels,laborsupplyalwaysequalslabordemand.Workers

whodonotworkchoosenottoworkattheequilibriumrealwage.IntheKeynesianandnew

Keynesianmodels,laborsupplyisgreaterthanlabordemand,sothereareworkerswhowouldliketo

workforthegoingwagebutcannotfindajob,makingtheminvoluntarilyunemployed.

5.ExplainthewaysinwhichtherealbusinesscyclemodelisanextensionoftheClassicalmodel.In

whatwaysaretheydifferent?

Therealbusinesscycletheoryisamodemversionoftheclassicaleconomics.Thebusinesscycleis

anequilibriumphenomenon.Itistheresultoftheactionsofoptimizingagentsinthefaceofchanges

intheeconomicenvironment(i.e.,productivityshocks)orchangesinpreferences.Macroeconomic

stabilizationpoliciesarecounter-productive.Therealbusinesscycletheorists,therefore,reach

noninterventionistpolicyconclusions,asdidtheoriginalclassicaleconomists.

Theprimarydifferenceisthattherealbusinesscyclemodelisthattheassumptionsofthereal

businesscycletheoryaremuchmoreexplicitlylaidout.Forexample,inthesemodelsproduction

functionsareexplicitlydefined.Inaddition,realbusinesscycletheoriesfocusmuchmoreon

explainingandmeasuringthesourcesofproductivityshocks.

6.Definehysteresis.Howdoinsider-outsidermodelsexplainhysteresis?

Avariableexhibitshysteresisif,whenshockedawayfromaninitialvalue,itshowsnotendencyto

returnevenwhentheshockisover.Hysteresismodelstrytoexplainwhyhighunemployment

persistsevenafteritsinitialcauseislongpast.Duringrecessions,manyinsiders,whohavepowerin

hiringandfiringdecisionswithinafirm,becomeoutsiders.Evenaftertherecessionisover,the

insiderswhohaveremainedemployedarereluctanttorehirethosewholosttheirjobsforfearthatit

willpushdowntheirwages.Asaresult,unemploymenttendstobehighlypersistentandhysteresisis

possible.

7.Considertheturnovercostmodelofefficiencywages.Supposethatthegovernmentimposesataxon

hiringaworker.Whatshouldhappentowagesandunemployment?

Ifataxisimposedonnewworkers,thentheturnovercostsincurredbyfirmshaveincreased.Asa

result,firmswillhavemoreincentivestoreduceturnover.Todothis,theywillincreasewages,

whichwillleadtoincreasedunemployment.

8.WhatmustbetrueaboutcompetitionwithinmarketsifpricesarestickyasclaimedbynewKeynesian

economics?WhatmustbetrueregardingtheclearingofmarketsinnewKeynesianmodels?Compare

thistorealbusinesscyclemodels.

AcrucialelementinnewKeynesianstickypricemodelsisthatthefirmmustnotbeaperfect

competitor.Asaresult,marketsdonotalwaysclear.Inrealbusinesscyclemodels,marketsare

perfectlycompetitive,theyalwaysclear,andpricesandwagesareperfectlyflexible.

9.Whatroleisthereformonetarypolicyinarealbusinesscyclemodel?Istherearoleforstabilization

policy?CompareandcontrastthiswiththetraditionalKeynesianmodel.

Monetarypolicyshouldconcentrateonthepricelevelintherealbusinesscyclemodel.Adesirable

monetarypolicywouldbeonethatresultedinslow,steadygrowthinthemoneysupply,andthus

stableprices,oratleastalowrateofinflation.Inbusinesscyclemodelsreal,notmonetary,factors

areresponsibleforfluctuationsinoutputandemployment.Forthesamereason,stabilizationpolicyis

useless.Instead,publicpolicyshouldfocusonincreasingproductivityandincreasingaggregate

supply.Keynesiansfocusonaggregatedemand-drivenchangesinoutput.Becauseaggregate

demandisinherentlyunstableinthismodel,stabilizationpolicyisneededtooffsetthesefluctuations.

10.Thesimplerealbusinesscyclemodelproductionfunctionisshownas

yt=ztF(Kt,Nt).

Describethedifference(s)inthisproductionfunctionandtheoriginalclassicalproductionfunction.

Thisproductionfunctioncontainstheadditionaltermzt,whichrepresents"shocks"totheproduction

process,meaningeventsthatchangethelevelofoutputforthcomingforgivenlevelofthelaborand

capitalinputs.Furthermore,thereisnobarovertheK.Intherealbusinesscyclethecapitalstockis

nottakenasgivenbutratherischosenforeachperiodbytherepresentativeagent.

AdditionalEssayQuestionsand/orProblems:

11.Realbusinesscycletheoristspartcompanywithnewclassicaleconomistsonthequestionofthe

causesoffluctuationsinoutputandemployment.Howdorealbusinesscycletheoristsexplainthese

fluctuations?

12.BothnewKeynesianandrealbusinesscyclemodelsarebasedupontheoptimizingbehaviorof

individuals.Whythedifferencethenbetweenthesemodels?Howdothesedifferencesaffecthow

eachmodelviewsstabilizationpolicy?

13.Graphicallyshowtheeffectsofapositivetechnologyshockinarealbusinesscyclemodel.

14.Ifchangesinproductivitydrivebusinesscycles,discusstheimplicationsfor(i)thepersistence(or

length)ofrecessions,(ii)theexistenceofinvoluntaryunemployment,(iii)theproperroleof

stabilizationpolicy.

15.Inrealbusinesscyclemodels,recessionsare"efficient“andoptimalresponsestochangesin

economicfundamentals.Explainthisstatement,andcontrastitwithnewclassical,Keynesian,and

newKeynesianmodels.

Multiple-ChoiceQuestions:

1.Therealbusinesscycletheoryismostcloselyrelatedto

a.Keynesiantheory.

b.monetaristtheory.

c.theclassicalmodel.*

d.thenewKeynesianmodel.

2.Intherealbusinesscyclemodel,businesscyclesare

a.efficientanddonotrepresentlostoutput.

b.drivenbytechnologyshocks.

c.occurwhenmarketsclear.

d.alloftheabove.*

e.Noneoftheabove

3.Realbusinesscycleproponentsarguethat

a.recessionsarecausedbymovementsofoutputawayfromthenaturalrateofoutput.

b.pricesandwagesaresticky.

c.macroeconomicsshouldbebasedonthesameassumptionsasmicroeconomics.*

d.monetarypolicyisimportantindeterminingrecessions.

e.noneoftheabove.

4.Whichofthefollowingstatementsarecorrect?In(the)

a.Keynesianmodel,unemploymentisvoluntary.

b.realbusinesscyclemodels,allunemploymentisvoluntary.

c.newclassicalmodels,thereisvoluntaryunemployment.

d.Bothbandc*

e.Alloftheabove

5.Therealbusinesscycletheory

a.arguesforactivestabilizationpolicy.

b.arguesforinterventionistpoliciesinresponsetorecessions.

c.isinfavorofaconstantmoneygrowthrateruleforthemoneystock.

d.isanoffshootofMonetaristtheory.

e.noneoftheabove.*

6.Ausualassumptioninrealbusinesscyclemodelsisthattheeconomyispopulatedbyagroupof

identicalindividualsandthebehaviorofthegroupcanthenbeexplainedintermsofthebehaviorof

oneindividual,calleda(n)

a.maximizingagent,

b.representativeagent.*

c.republicanagent,

d.informativeagent,

e.democraticagent

7.Theaggregateproductionfunctionforrealbusinesscyclemodelsisshownas

a.yt=F(Kt,Nt).

b.yt=ztF(Kt-Nt).

c.yt=ztF(Kt,Nt).*

d.yt=zt/(Kt,Nt).

8.NewKeynesianeconomicsdiffersfromrealbusinesscycleeconomicsinthat

a.marketsareperfectlycompetitiveinnewKeynesianmodels.

b.businesscyclesarefluctuationsinthenaturalrateofunemploymentinnewKeynesian

models.

c.wagesandpricesareperfectlyflexible.

d.agentsmaximizeutilityinthenewKeynesianmodel.

e.noneoftheabove.*

9.Inrealbusinesscyclemodelsandnewclassicalmodels

a.monetaryfactorsareresponsibleforfluctuationsinoutputandemployment.

b.changesinunemploymentareinvoluntary.

c.marketsalwaysclear.

d.pricesandwagesareperfectlyflexible.*

e.noneoftheabove.

10.Whichofthefollowingstatementsis(are)correct?Accordingtorealbusinesscycletheory,

a.thedesirablemonetarypolicywouldappeartobeonethatresultsinaslowsteadygrowthinthe

moneysupplyand,thus,stableprices.

b.thereissomeroleforactivistmonetarystabilizationpolicyofaKeynesiantype.

c.changesinaggregatedemandcannotimpactoutput.

d.Bothaandb

e.Bothaand己

11.Whichofthefollowingshockshavebeenemphasizedmostoftenwithrespecttorealbusinesscycle

theory?

a.Shockstotechnology*

b.Variationsinenvironmentalconditions

c.Changesinthereal(relative)pricesofimportedrawmaterials

d.Changesintaxrates

e.Noneoftheabove

12.InthenewKeynesianmodels,

a.imperfectcompetitioncomesistheresultofoptimizingbehaviorbyindividuals.*

b.perfectcompetitionisassumedwithrespecttotheproductmarket

c.anaturalmonopolyispresumedfortheproductmarket.

d.bothaandc.

d.Noneoftheabove

13.Whichofthefollowingcannotbeusedtojustifyefficiencywages

a.Stickyprice(menucost)models*

b.turnovercosts

c.workershirking

d.workermorale

14.Inanyefficiencywagemodel,itmustbetruethat

a.themarginalbenefitofincreasedefficiencyisequaltothemarginalcostofhigherwages.

b.nominalwagesareinflexible.

c.disequilibriuminthelabormarketexists.

d.alloftheabove.*

e.noneoftheabove.

15.Withrespecttoefficiencywagemodels,theefficiencyofworkersdepends

a.positivelyonthemoneywagetheyarepaid.

b.positivelyontherealwagetheyarepaid.*

c.inverselyontheageoftheworkers.

d.positivelyontheunemploymentrate.

16.NewKeynesianswouldagreewithallofthefollowingexcept

a.stabilizationpolicycanreducetheseverityofbusinesscycles.

b.wagesandpricesaresticky.

c.marketsareperfectlycompetitive.*

d.marketequilibriumisoftensuboptimal.

17.NewKeynesianeconomists

a.believethatthedeviationsofoutputbelowpotentialoutputduringrecessionsaresociallycostly.

b.presumethatmuchunemploymentisinvoluntary.

c.attempttoimprovethemicroeconomicfoundationsofthetraditionalKeynesianmodels,not

challengetheirmajorpremises.

d.Bothaandc

e.Alloftheabove*

18.Inrealbusinesscyclemodels,businesscyclesarecausedby,whileinnewKeynesianmodel,

businesscyclesarecausedby.

a.aggregatedemand;aggregatedemand

b.aggregatedemand;aggregatesupply.

c.aggregatesupply;aggregatedemand.*

d.fiscalpolicy;monetarypolicy

19.Whichofthefollowingmodelsviewchangesinrealsupply-sidefactorsasdeterminantsofshort-run

fluctuationsinoutputandemployment?

a.Newclassicalmodels

b.Politicalbusinesscyclemodels

c.Keynesianmodels

d.Realbusinesscyclemodels*

e.noneoftheabove

20.Anexampleofnegativeproductivityshocksthatcouldcauserecessionsis

a.ahurricane,whichdestroyscapital.*

b.adecreaseinthepriceofoil.

c.reductionsindefensespending.

d.alloftheabove.

e.bothaandb.

21.Therealbusinesscycletheoryandthenewclassicaltheoryagreethat

a.businesscyclesaredrivenbychangesinaggregatedemand.

b.expectationsareformedrationally.*

c.imperfectinformationplaysabigroleinbusinesscycles.

d.noneoftheabove.

22.Advocatesofrealbusinesscycletheoriesarguethatallofthefollowingcouldcausearecession

except

a.afallinconsumerexpectations.*

b.naturaldisasters.

c.highertaxation.

d.increasesinthepriceofoil.

23.RealbusinesscycleandnewKeynesianmodelsdisagreeupon

a.whetherpeopleformtheirexpectationsrationally.

b.whetherchangesinunemploymentarevoluntaryorinvoluntary.*

c.whetherindividualsengageinoptimizingbehavioratalltimes.

d.whetherchangesinthemoneysupplyaffectoutputinthelong-run.

24.Intherealbusinesscycletheory,duringaperiodwhenoutputisfalling,

a.workersarevoluntarilygivinguptheirjobs.

b.thequantitysuppliedoflaborisfalling.

c.aggregateproductivitymustbefalling.

d.alloftheabove.*

e.noneoftheabove.

25.Accordingtorealbusinesscycletheory,businesscycles

a.canbeeliminatedwithappropriatemonetaryandfiscalpolicy.

b.arenaturalandefficientreactionstochangesinproductivity.*

c.donotoccur.

d.occurinfrequently.

e.noneoftheabove.

26.Accordingtorealbusinesscycletheory,anincreaseintaxes

a.wouldsignificantlyreducelaborsupply,increaseemployment,anddecreaseoutput.

b.adeclineinemploymentbutnotinoutput.

c.wouldsignificantlyreducelaborsupply,anddecreaseemploymentandoutput.*

d.nochangeinoutputandemployment.

27.Manyeconomistswhoaccepttherealbusinesscycleexplanationsofeconomicfluctuations

a.believethatthesharpriseintherelativepriceofimportedoilwasthecentralcauseofthedeep

recessionintheUnitedStatesinthemid-1970s.*

b.believethattherestrictiveFederalReservemonetarypolicywasthecentralcauseofthedeep

recessionintheUnitedStatesinthemid-1970s.

c.believethatthesharpriseintherelativepriceofimportedoilwasnotthemaincauseofthedeep

recessioninotherindustrializednationsinthemid-1970s.

d.bothaandc.

d.Noneoftheabove

28.Whichofthefollowingstatementsis(are)correct?

a.Realbusinesscycletheoristsremainconvincedthatthebusinesscyclecanbeexplainedasan

equilibriumphenomenon

b.Accordingtorealbusinesscycletheorists,fluctuationsinoutputcomeasoptimizingagents

respondtorealshocksthataffectproductionpossibilities

c.Realbusinesscycletheoristsconsiderpoliciestopreventfluctuationsinoutputunnecessary

d.Bothaandb

*e.Alloftheabove

29.Whichofthefollowingstatementsis(are)correct?Intheinsider/outsidermodelthereis

a.unemploymentduetotherealwagebeingsetabovethemarketclearinglevel.

b.cyclicalunemploymentinresponsetochangesinaggregatedemand.

c.structuralunemploymentinresponsetohysteresis.

d.Bothaandb

e.alloftheabove*

30.NewKeynesiantheoriesofefficiencywagesimply

a.voluntaryunemployment.

b.realwagerigidity.*

c.changesinunemploymentrepresentchangesinthenaturalrateofunemployment.

d.marketclearinginthelabormarketinthelong-run.

e.Noneoftheabove

ThenewKeynesiantheoriesofefficiencywagesimply

a.nominalwagerigidity.*

b.realwagerigidity.

c.changesinunemploymentrepresentchangesinthenaturalrateofunemployment.

d.marketclearinginthelabormarketinthelong-run.

e.Noneoftheabove

31.NewKeynesiansandnewclassicaleconomistsbothbelievethat

a.peopleformtheirexpectationsrationally.

b.aggregatedemandmovementsprimarilydrivebusinesscycles.

c.individualagentsengageinoptimizingbehavior.

d.Thekeysourceofdisagreementcenteredaroundhowpeopleformtheirexpectations.

e.allbutdarecorrect.

32.NewKeynesianeconomistshaveexaminedwhetherreal-worldpricesare,infact,sticky.Inone

studyof38magazines,StephenCecchettifound

a.thatpricerigiditywasnonexistentwithrespecttomagazinesatnewsstands.

b.considerablerigiditywithrespecttothenewsstandpricesofmagazines.*

c.thatmostofthe38magazinesinthestudyhadpricechangesatleastonceayear.

d.thattheReadersDigestpricewaschanged15timesbetween1950and1980.

33.Inastudyofwhetherpricesarestickyornot,AlanBlindersupervisedinterviewsofcorporate

executivesonthefrequencywithwhichtheirfirmschangepricesandfoundthat

a.55percentoffirmschangedpricesonlyonceayearorless.*

b.over20percentofthefirmschangedpricesmorethan12timesperyear.

c.10percentofcompanieschangedprices4to12timesperyear.

d.thereisnotaconsiderabledeparturefromauction-marketbehavior.

34.Whichofthefollowingiscorrect?Ageneralassumptioninrealbusinesscyclemodelsisthat

a.dissimilarindividualspopulatetheeconomy.

b.thelabormarketdoesnotclear.

c.theeconomyispopulatedbyagroupofidenticalindividuals.*

d.theeconomyexperiencesinvoluntaryunemployment.

35.Theexistenceofheavytrainingcostswouldprovidearationalefor

a.insider-outsidermodels.

b.IS-LMmodels.

c.stickypricemodels.

d.modernefficiencywagemodels*

36.Whichofthefollowingstatementsiscorrect?Withrespecttoefficiencywagemodels,

a.theirkeyelementisanexplanationofwhytheefficiency(orproductivity)ofworkersdependson

therealwage.

b.therationaleunderlyingthosemodelsimpliesthatfirmswillsettherealwageabovethe

marketclearinglevel.

c.theyexplainarealwagerigidity.

d.alloftheabove*

37.Whichofthefollowingefficiencywagemodelscentersonthemoraleofafirm'sworkers?The

a.shirkingmodel.

b.giftexchangemodel.*

c.turnovermodel.

d.Noneoftheabove

38.WhichofthefollowingmodelsexplainswhyhighunemploymenthaspersistedinsomeEuropean

countriesforsuchlongperiods-periodstoolongtobetheresultoffixedmoney-wagecontractsor

backward-lookingpriceexpectations?

a.Insideroutsidermodels*

b.Efficiencywagemodels

c.Stickypricemodels

d.IS-LMmodels

39.NewKeynesianeconomistsbelievethat

a.movementsinunemploymentcanbeexplainedbyvoluntarymovementsinandoutofthelabor

market..

b.everyonewhoisnotworkingisinvoluntaryunemployed.

c.labormarketsclearinthelong-run.

d.thenewclassicalmodelhasmerit,butrecessionscannotbeadequatelyexplainedinamodelof

withperfectlyflexiblepricesandwages.*

40.AccordingtocriticsofnewKeynesianeconomics,itisdoubtfulthat

a.menucostsareveryimportantintherealworld.

b.efficiencywageconsiderationsplayanimportantroleintherealworld.

c.bargainingmodelsareofsignificanceintherealworld.

d.Alloftheabove*

e.Noneoftheabove

41.Whichofthefollowingstatementsis(are)correct?Criticsoftherealbusinesscyclemodel

a.questionwhethertechnologyhaseverbeenthecauseofarecession.

b.donotdenythatsometechnologyshocksaffectmanyindustries.However,theydonotbelieve

thatthereareenoughoftheseshockstoexplainrecessionswhereoutputfallstooasmuchas10

percentbelowpotentialoutput.*

c.arguethataggregatesupplychangesdrivemostbusinesscycles.

d.Alloftheabove

e.Noneoftheabove

42.Akeyelementofrealbusinesscycletheoryisthat

a.laborsupplyisnotresponsivetochangesinrealwages.

b.laborsupplyishighlyelastic.*

c.asthewageincreases,workersarerich