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    Exam 11: The Income-Expenditure Model
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    Firms React to Unplanned Increases in Inventories By
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Firms React to Unplanned Increases in Inventories By

Question 102

Question 102

Multiple Choice

Firms react to unplanned increases in inventories by:


A) increasing output.
B) reducing output.
C) increasing planned investment.
D) increasing consumption.

Correct Answer:

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