Sources of reduced volatility of demand shocks include all of the following except:
A) smaller ups and downs of military spending.
B) residential construction.
C) inventory changes.
D) saving rates.

Question

Quizplus · Accepted Answer

Saving rates do not directly influence the volatility of demand shocks, unlike military spending, residential construction, and inventory changes, which can have more immediate impacts on economic demand fluctuations.

Sources of Reduced Volatility of Demand Shocks Include All of the Following