Question: If aggregate planned expenditure exceeds real GDP , how do inventories change and how does that impact the economy? Select one: a . Inventories increase,
If aggregate planned expenditure exceeds real GDP how do inventories change and how does that impact the economy?
Select one:
a Inventories increase, and as real GDP increases, the economy moves up along the curve occurs.
b Inventories increase, and firms increase production, which shifts the curve upward.
c Inventories increase, which shifts the curve upward.
d Inventories decrease, and as real GDP increases, the economy moves up along the curve occurs.
e Inventories decrease, which shifts the curve downward.
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