If Unplanned Investment Is Negative,firms Will ________ Production and Output

question 80

Multiple Choice

If unplanned investment is negative,firms will ________ production and output will ________.

• A)cut;rise
• B)cut;fall
• C)increase;rise
• D)increase;fall

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Definitions:

Local Factory

A manufacturing facility situated within a specific locality or geographic area, contributing to the local economy.

Productivity

The efficiency with which inputs (such as labor and capital) are converted into outputs like goods and services.

Separating Equilibrium

A situation in game theory or economic models where differing types, strategies, or qualities of players or products lead to distinct outcomes, separating them into different equilibrium points.

Pooling Equilibrium

A situation in a market with incomplete information where different types of economic agents are treated indistinguishably due to a lack of distinguishing information.