Wen, Yi (contributor) - 2005
modifications necessary to bring real business
cycle theory into closer conformity with the data. (JEL E13, E32)
Key Words … of the data, one of the most salient
shortcomings of real business cycle (RBC) theory lies in its predictions for the …. This paper
provides a very simple explanation for why this is the case.
Early in the development of RBC theory, it was …