Figure 23-1 -Refer to Figure 23-1. What Will Happen Next When the Next

Multiple Choice

Figure 23-1
-Refer to Figure 23-1. What will happen next when the economy is at point J?

A) Inventories have fallen below their desired level, and firms decrease production.
B) Inventories have fallen below their desired level, and firms increase production.
C) Inventories have risen above their desired level, and firms decrease production.
D) Inventories have risen above their desired level, and firms increase production.