Asian tour packages for More generally, supply-side economists also espouse PRIVATIZATION and propose the elimination of regulation impeding investment, production, and trade so as to facilitate expansion of output. What has collectively been called the new classical school of economics places the supply side in the center of their analysis, as it views BUSINESS CYCLES as largely caused by real, supply-side shocks to the economy. To a first approximation, the resulting variations in aggregate variables can be viewed as an efficient response to these shocks. According to this view, the observed relationship between money and the business cycle reflects causation going from real activity to monetary conditions, and not the other way around. These views are encapsulated in the so-called real business cycle theory, which is the most recent variant of supply-side economics. This body of thought emphasizes that real (as opposed to nominal) changes such as technology shocks, new products, new government regulations on environmental standards, changes in consumer preferences, natural resource discoveries, tax rate changes and other supply-side factors are primarily responsible for fluctuations in economic activity. Demand-side factors play a secondary and very transitory role in affecting business cycles. Asian tour packages 2016.