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Macroeconomics 11th Edition by Michael Parkin
Edition 11ISBN: 9780133423884Macroeconomics 11th Edition by Michael Parkin
Edition 11ISBN: 9780133423884 Exercise 2
Inventory Investment Decreases
When real GDP increased in the second quarter of 2012, consumption expenditure, exports, and fixed investment increased but business inventory investment fell.
Explain how a fall in inventories influences aggregate demand.
When real GDP increased in the second quarter of 2012, consumption expenditure, exports, and fixed investment increased but business inventory investment fell.
Explain how a fall in inventories influences aggregate demand.
Explanation
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Impact of decrease in inventories on agg...
Macroeconomics 11th Edition by Michael Parkin
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