The Problem of Inventories

July 1962
Time;7/27/1962, Vol. 80 Issue 04, p66
The article focuses on how fluctuations in inventory buying have accentuated swings in the U.S. business cycle. Businessmen help create inflation by rapidly building up their inventories during recovery while during a recession, they contribute to unemployment. They build up their stocks more slowly as old motives for heavy inventory accumulation are missing. It is considered that when companies use computers to project sales, the average size of inventories should be cut.


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