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An expansionary period of rising real gdp and prices

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Reference no: EM13200715

If the government announced the economy is headed into an expansionary period of rising real GDP and prices, businesses would most likely respond by: 


a. lowering wages so that they could afford to hire more workers 
b. dismantling some of existing production facilities 
c. outsourcing fewer jobs to foreign countries 
d. increasing their spending on new capital

Reference no: EM13200715

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