Multiple Choice
Suppose current real GDP is greater than planned aggregate expenditure.Which of the following best describes how inventories of goods and services are affected?
A) Inventories of goods and services will rise.
B) Inventories of goods and services will decline.
C) Firms will increase production to replenish depleted inventories.
D) Inventories will stay the same.
Correct Answer:
Verified
Correct Answer:
Verified
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