menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Macroeconomics Principles Problems and Policies
  4. Exam
    Exam 6: An Introduction to Macroeconomics
  5. Question
    Inventories Held by Firms
Solved

Inventories Held by Firms

Question 34

Question 34

Multiple Choice

Inventories held by firms:


A) Tend to increase the severity of short-run fluctuations
B) Tend to reduce the severity of short-run fluctuations
C) Are held by businesses because they are a costless way of responding to demand shocks
D) Are the result of positive demand shocks

Correct Answer:

verifed

Verified

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

Related Questions

Q29: Situations in which firms expect one thing

Q30: Investment happens when:<br>A) Current income is greater

Q31: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4895/.jpg" alt=" Refer to the

Q32: If a family's income increases by 5%

Q33: Economists believe that most short-run fluctuations:<br>A) Are

Q37: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4895/.jpg" alt=" Refer to the

Q38: Which of the following markets is most

Q39: Which among the following countries had the

Q95: Real GDP is calculated using current prices

Q219: Economists use different models of the economy

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