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In the Income-Expenditure Model,inventories Are

Question 124

Multiple Choice

In the income-expenditure model,inventories are:


A) fixed and therefore provide little insight into the direction of the economy.
B) a long-run event that aids forecasters in understanding where long-run real GDP is.
C) constantly changing and provide insight into the future of the economy.
D) often positive,suggesting that additions to inventory stocks are a long-run goal.

Correct Answer:

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