Fixed investment is

A) when a firm adds to its inventories of goods.
B) when a firm accumulates profits.
C) dissavings.
D) an expenditure by firms on new machines that are expected to produce income in the future.

D

Economics

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Suppose the government borrows to purchase military ammunition which is immediately used up in target practice. The rate of return on this investment is ________, and in this case the government debt ________ a burden on future taxpayers

A) r, is not B) r, is C) 0, is not D) -r, is not E) -r, is

Economics

By lowering the legal reserve requirement, the Federal Reserve System forces banks to hold repaid loans as required reserves instead of lending the funds again

Indicate whether the statement is true or false

Economics