MCQOPTIONS
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				| 1. | 
                                    Supply-side theories claim that__________________? | 
                            
| A. | business cycles are caused by insufficient supply | 
| B. | a decline in aggregate supply is responsible for economic downturns | 
| C. | an increase in aggregate supply causes output and employment to decline | 
| D. | none of the above | 
| Answer» C. an increase in aggregate supply causes output and employment to decline | |