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If Aggregate Production in the Economy Exceeds Aggregate Purchases

Question 143

Multiple Choice

If aggregate production in the economy exceeds aggregate purchases


A) unintended inventory investment is positive.
B) inventories will be drawn down.
C) there is upward pressure on real GDP.
D) aggregate purchases will tend to increase until equilibrium is achieveD.
E) firms are selling more during the year than they are producing.

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