If firms' inventories are less than they planned,aggregate planned expenditure is ________ real GDP and firms ________ their production.
A) greater than; increase
B) greater than; decrease
C) less than; increase
D) less than; decrease
Correct Answer:
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Q201: Real GDP equals $20 billion and aggregate
Q209: Q213: Q215: Q216: If aggregate planned expenditure is less than Q231: 3 The Multiplier Q232: The multiplier effect on real GDP occurs Q236: Because of the multiplier, a one-time change Q237: If prices are fixed, an increase in Q254: The relationship between the multiplier and the Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents![]()
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-When autonomous expenditure decreases,
A) the