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.

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Definitions:

Glutamate

An important neurotransmitter in the brain involved in learning and memory.

Endorphins

Natural chemicals in the body that interact with brain receptors to reduce perception of pain and trigger positive feelings.

Sensory Input

Information received by the senses (sight, hearing, smell, taste, and touch) that is then processed by the brain to understand and interact with the environment.

Brain Structure

The arrangement of the various parts of the brain, including its cells and tissues, which is responsible for its functions and capabilities.