$7,000, then firms will
A. not change production because $7,000 is the equilibrium level of real GDP.
B. increase production to rebuild inventories to their target level.
C. decrease production to restore inventories to their target level.
D. None of the above answers is correct.
Answer:C
$7,000, then firms will
A. not change production because $7,000 is the equilibrium level of real GDP. B. increase production to rebuild inventories to their target level. C. decrease production to restore inventories to their target level. D. None of the above answers is correct.