The real business cycle theory is most closely related to

International trade in the U.S. during the antebellum period

(a) benefited the Northern economy more than the Southern economy. (b) benefited England significantly more than the U.S. (c) played an important part in the growth and expansion of the Southern economy. (d) occurred as described in all of the above.

According the traditional Keynesian approach, an increase in government spending is effective in raising real Gross Domestic Product (GDP) if

A) the price level is fixed. B) the price level is flexible. C) the price level does not exist. D) Ricardian equivalence occurs, regardless of the price level.