In this final circular flow example for our course, the starting point was a deep recession with 5 million cyclically unemployed people. a approach would suggest an active approach by government and might suggest that deficit spending be used to correct the problem

The company is experiencing an increase in competition, and at the same time they are building more production facilities in southeast asia. in this scenario, the top management team is most likely to multiple choice increase the cost of their products. restructure to reflect a more bureaucratic, stable organization. pull decision-making responsibility from low-level management, taking it on themselves. give lower-level managers the authority to make decisions to benefit the firm. rid themselves of all buffering product.