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If the Price Level in the Current Period Is Lower

Question 199

Multiple Choice

If the price level in the current period is lower than what buyers and sellers anticipated,


A) profit margins will be unattractive, and firms will expand output.
B) profit margins will be unattractive, and firms will reduce output.
C) profit margins will be attractive, and firms will expand output.
D) profit margins will be attractive, and firms will reduce output.

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