Related to the Economics in Practice on p. 473: If a recovery from a recession is slower than expected, companies like General Motors would likely experience ________ in unplanned inventories and as a result ________ production.
A) increases; increase
B) decreases; decrease
C) increases; decrease
D) decrease; increase

Question

Quizplus · Accepted Answer

If a recovery from a recession is slower than expected, companies like General Motors would likely experience increases in unplanned inventories because consumers are not buying as many cars as expected. As a result, they would decrease production to avoid overproduction and further increasing their inventories.

Related to the Economics in Practice on P