The GDP calculation includ es changes in inventories, which represents the diFference between production and sales during a period. Increases in inventoria mostly likely suggest which of the followi rig? Selected answer will be automatically saved. Fo rl-oeyboard navigation, press up.-'dow1'| a rrow keys to select an answer. a The economy is moving towards high inflation. b There is an unexpected rise in sales. c There is an unexpected economic growth. {'1 There is an unexpected economic slowdown. In an economic downturn, the government will likely put into place policies that will increase current consumption. These policies might include: Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a lowering income taxes. b lowering capital gains taxes. c lowering taxes on interest and dividends. d lower government spending.Production is currently greater than consumption and investment. What will result? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a Output will increase since inventories will increase. b Output will decrease since inventories are increasing. Output will increase since inventories are decreasing. d Output will decrease since inventories are decreasing.How will the spending multiplier be affected if people keep larger amounts of currency in their pockets? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a It will be greater. b It will be smaller. C It will remain the same. d It will increase with an increase in the marginal propensity to save.\fIf the economy is opEIating in the inelastic portion ofthe suppljglur curve, then an increase in demand will result in: Selected answer will be automatically saved. For hey-board navigation, press up.-'dow1'| arrow keys to select a n answer. a an increase in prioes and an increase in output. b an increase in prioes and no change in output. C no change in prices and an increase in output. d no change in prices or output