menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Understanding Modern Economics
  4. Exam
    Exam 11: Aggregate Demand and Supply  
  5. Question
    If Actual Output Is Above the Equilibrium Level, Inventories Will
Solved

If Actual Output Is Above the Equilibrium Level, Inventories Will

Question 67

Question 67

True/False

If actual output is above the equilibrium level, inventories will accumulate, and firms will increase prices to cover the added cost of carrying more inventory.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q62: The equilibrium price level<br>A) is determined by

Q63: According to the real-balance effect, an increase

Q64: Which one of the following changes when

Q65: The aggregate supply curve is<br>A) horizontal if

Q66: The profit motive explains the upward slope

Q68: What aspect of firm behavior accounts for

Q69: Which of the following would likely result

Q70: The effect of a decrease in aggregate

Q71: Changes in the price level result from

Q72: The effect of an increase in aggregate

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines