Refer to the information provided in Table 8.4 below to answer the questions that follow.
Table 8.4

-Refer to Table 8.4.If aggregate output equals ________,there will be a $100 billion unplanned decrease in inventories.
A)$200 billion
B)$400 billion
C)$600 billion
D)$800 billion

Question

Refer to the information provided in Table 8.4 below to answer the questions that follow.
Table 8.4
 
-Refer to Table 8.4.If aggregate output equals ________,there will be a $100 billion unplanned decrease in inventories.
A)$200 billion 
B)$400 billion 
C)$600 billion 
D)$800 billion

Quizplus · Accepted Answer

An unplanned decrease in inventories occurs when aggregate output is less than aggregate expenditure. If the output is $600 billion, it implies that the expenditure is $700 billion, leading to a $100 billion decrease in inventories.

Refer to the Information Provided in Table 8