If Planned Spending Exceeds Planned Output in an Economy,the Result

question 42

Multiple Choice

If planned spending exceeds planned output in an economy,the result is a(n) _____.

• A)increase in inventories
• B)decrease in gross domestic product
• C)decrease in imports
• D)increase in government purchases
• E)unintended decrease in inventories

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Definitions:

Test Marketing

The process of launching a new product or service to a limited geographical area to gauge its viability before a full-scale launch.

Maturity Stage

A phase in the product life cycle where sales growth slows down, and the product is well established in the market.

Growth Stage

A phase in the product life cycle characterized by rapid market acceptance and increasing profits.

Introductory Stage

The introductory stage is the initial phase of a product lifecycle, characterized by product launch, market entry, and initial promotion efforts.