Refer to Figure 23-1. If the economy is at point J, what will happen?

A) Inventories have fallen below their desired level, and firms increase production.
B) Inventories have risen above their desired level, and firms increase production.
C) Inventories have risen above their desired level, and firms decrease production.
D) Inventories have fallen below their desired level, and firms decrease production.

A

Economics

You might also like to view...

If bonds with different maturities are perfect substitutes, then the ________ on these bonds must be equal

A) expected return B) surprise return C) surplus return D) excess return

Economics

A possible solution to the network externality problem is the government limiting the size of networks

a. True b. False Indicate whether the statement is true or false

Economics