Why are changes in inventories included as part of investment spending? Suppose inventories declined by $1 billion
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Why are changes in inventories included as part of investment spending?
Suppose inventories declined by $1 billion during 2010. How would this affect the size of gross private domestic investment and gross domestic product in 2010? Explain.
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Changes in inventories are included as part of investment spending because they represent the value of goods produced but not yet sold or raw material...View the full answer
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Related Book For 
Macroeconomics
ISBN: 9780077337728
19th Edition
Authors: Campbell Mcconnell, Stanley Brue, Sean Flynn, Flynn Mcconnell Brue
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