When the planned expenditure is greater than the value of current production, production will increase to meet the demand for goods and services. The fact that aggregate expenditures are greater than GDP means that more than the amount of goods and services currently produced in the economy is planned to purchase. To meet this demand, firms sell goods and services that they have produced in the past and are waiting in stock. In other words, if the planned expenditures are greater than GDP, firms’ stocks decrease. The change in stocks compensates the planned expenditure exceeding the GDP. Thus, actual expenditures, including unplanned changes in stocks, are equalized to GDP. Decreasing stocks will cause firms to increase their production.