Which of the following would count as an investment expenditure in the GDP expenditures approach?
a. General Motors hires 10 electrical engineers.
b. Boeing purchases a new metal stretching machine used to produce airplane wings.
c. Ms. Quantum buys 100 shares of Microsoft stock.
d. A large corporation spends $10,000 per month on long-distance phone charges.
b
You might also like to view...
The three ways government can alter aggregate demand are:
A. Agriculture subsidies, science & technology subsidies, and education grants. B. Provide or deny food, clothing, and shelter. C. Nationalization of private businesses, institution of price controls, and Pigouvian taxes on externalities. D. Tax the Internet, close the bars, and ban football. E. Government spending, tax policy, and transfer of income
The CPI overestimates inflation because
a. it often ignores the invention of new goods. b. it always includes discount stores. c. it allows substitution from more expensive goods to cheaper goods. d. all of the above.