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    Macroeconomics Study Set 57
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    Exam 11: Aggregateexpenditures
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    When PAE Is Less Than Y, Firms Will
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When PAE Is Less Than Y, Firms Will

Question 65

Question 65

Multiple Choice

When PAE is less than Y, firms will:


A) decrease production.
B) increase production.
C) make no change in production.
D) increase labor.

Correct Answer:

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