Answer to Question #144443 in Macroeconomics for mal

Question

As consumer reduce their spending inventories are rising. Thr commerce department reported that sales of durable goods fell 0.6 percent , while sales of durable goods decresed 1.5 percent in August.Inventories of durable goods increased 1.4 percent . which components of GDP changes when sales of non durable goods fell

Answer 1

The component of GDP that will be changed in such a case is the personal consumption expenditures.