What conclusion could be drawn if the volume of unfilled orders and average length of delivery times decreased while inventories increased dramatically?© BrainMass Inc. brainmass.com October 10, 2019, 4:23 am ad1c9bdddf
Changes in GDP often occur only after a recession is well underway. So economists often try to predict them in advance, by looking at how well goods are selling, which is indicated by changes in inventories. Businesses in general will keep the same amount in inventory. If inventories increase, therefore, they are selling less than they expected to. On the other hand, unfilled orders ...
How data on business inventories and unfilled orders can be used to predict changes in real GDP