If Aggregate Planned Expenditures Are Less Than Real GDP, Then

Multiple Choice

If aggregate planned expenditures are less than real GDP, then

A) inventories increase above their planned levels and businesses decrease their production.
B) inventories decrease below their planned levels and businesses increase their production.
C) there is no equilibrium level of real GDP.
D) inventories increase above their planned levels and businesses increase their production.
E) unplanned inventory changes equal zero.