If Firms Find That Consumers Are Purchasing More Than Expected,which

question 189

Multiple Choice

If firms find that consumers are purchasing more than expected,which of the following would you expect?

• A)Aggregate expenditure will likely be greater than GDP.
• B)Aggregate expenditure will likely be less than GDP.
• C)The economy will adjust to macroeconomic equilibrium as inventories rise,and production and employment fall.
• D)The economy will adjust to macroeconomic equilibrium as inventories fall,and production and employment fall.

---

Definitions:

Novocaine

A brand name for procaine, a local anesthetic used to numb tissue in a specific area.

Membrane Permeability

The ability of a biological membrane to allow the passage of substances in and out of cells or organelles, determining the cell's level of interaction with its environment.

Neuron Cell Body (Soma)

The part of a neuron that contains the nucleus and most of the cell's organelles; it plays a crucial role in processing and transmitting neural information.

Neuron

A neuron that conveys both electrical and chemical messages across the nervous system.