According to the rational expectations view, _____.

1 answer:

3 0

I believe the answer is:<span>the government can change real output </span> <span>only by making unexpected changes in aggregate demand.

Without making the unexpected changes, the market would most likely anticipate the movement of market equilibrium and adjust that output to obtain maximum profit. Because of this, the government has to utilize the element of surprise that prevent the people on the market to create their adjustment</span>

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