Final answer:
The real business cycle theory, which explains fluctuations in the economy through real shocks rather than changes in aggregate demand, was introduced by Finn Kydland and Edward Prescott.
Step-by-step explanation:
The real business cycle theory was introduced by Finn Kydland and Edward Prescott. This theory emerged as a counterpoint to Keynesian economics, suggesting that business cycle fluctuations are accounted for by real (as opposed to nominal) shocks, such as changes in technology or shifts in consumer preferences, rather than changes in aggregate demand. This perspective is quite different from the Keynesian view, which emphasizes the role of aggregate demand fluctuations in causing business cycles and advocates for the active role of policymakers in stabilizing the economy.