~SAT intl Nov 2018
Could you, please, explain me these questions(34,35)? The correct answer to both of them is A, but I can’t agree with it. The “lines 24-26(“These…firms”)”, i think, don’t support the idea that “the behaviour of households and firms has a larger effect on economies than they truly do” – they just explain how the DSGE model works, saying nothing about the quality of the prediction. I’ve framed the part you need to read to get the answer, the rest of the text is unrelated. Thanks!!