2.2.3 - Investment Flashcards
1
Q
Describe Investment
(3 Points)
A
~ Total spending on capital goods by firms.
~ Helps to increase the capacity of the economy.
~ Increased capacity means increased potential economic growth.
2
Q
What Is Meant By Depreciation?
A
Is the decrease in monetary value of a capital good over time.
3
Q
What Is Gross Investment?
A
