9
AssignmentLong Text

Introduction to Macroeconomics

Question 9 • (Galli)WCA 2221 Civics/Economics 1st nine weeks 26-27

Imagine a shoe store has a large number of shoes in its warehouse. The store owner believes the economy has peaked and a recession is coming soon.If this is true, what should the store owner do?

Answer

Answer:

The owner should advertise a sale and sell as many shoes as possible before the recession causes prices and demand to fall. The owner should also plan for lower demand and consider ways to keep workers employed.

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