The article explores how different economic shocks affect the economy. By using a new method, the researchers identified technology, labor supply, and monetary policy shocks. Technology shocks have a lasting impact on economic activity, while labor supply shocks are more temporary. Consumption responds slowly to technology shocks, and monetary policy reacts to labor supply shocks. Stock prices are influenced by all three shocks. Overall, these shocks explain most of the fluctuations in output, productivity, and prices in the economy.