Assume a Simple Macroeconomic Model.When Inventories Rise Unexpectedly

question 108

Multiple Choice

Assume a simple macroeconomic model.When inventories rise unexpectedly,

• A)income is above its equilibrium value.
• B)income will rise until it reaches its equilibrium value.
• C)total spending is higher than total output.
• D)total output is less than spending.

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Definitions:

Brooks Robinson

A famous American baseball third baseman who played for the Baltimore Orioles in Major League Baseball.

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A facility designed to receive the waste from domestic, commercial, and industrial sources and to remove materials that damage water quality and threaten public health and safety.

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Coercive power is the capacity to punish or withhold positive outcomes as a way of influencing other people.

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Favorable or beneficial results achieved through a process, action, or intervention.