Thinking as an economist would, which is TRUE of investment?
A) Investment is putting money into stocks and bonds.
B) Investment is a stock concept.
C) Investment represents spending on capital goods.
D) It is the portion of disposable income that is not used for consumption or saving.
C
Economics
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An increase in the liquidity of corporate bonds will ________ the price of corporate bonds and ________ the yield of Treasury bonds, everything else held constant
A) increase; increase B) reduce; reduce C) increase; reduce D) reduce; increase
Economics
The contagion effect refers to the fact that
A) deposit insurance has eliminated the problem of bank failures. B) bank runs involve only sound banks. C) bank runs involve only insolvent banks. D) the failure of one bank can hasten the failure of other banks.
Economics