--%>
Assignment Help - homework help

Business fixed investment-Inventory Investment

Describe the following terms:

(i) Business fixed investment
(ii) Inventory Investment
(iii) Residential construction Investment
(iv) Public Investment.

Answer:

(i) Business Fixed Investment: This is the amount used up by the business units on the purchasing of newly formed plants and equipments.

(ii) Inventory Investment: This refers to the total change in inventories of final goods, semi finished goods, raw material and so on.

(iii) Residential Construction Investment: This is the amount spent on building of housing units.

(iv) Public Investment: This comprises all capital formation carried by the government like building of roads, hospitals, and schools.

   Related Questions in Macroeconomics

  • Q : Macroeconomics-fiscal and monetary

    1) How can governments seek to control their national economies through fiscal and monetary policies?2) What are the causes of the fiscal deficits experienced by many developed nations in the past three years and what are the main effects

    		•
  • Q : National income Gross domestic capital

    Gross domestic capital formation is always greater than gross fixed capital formation

    		•
  • Q : Creation of assets or reduction of

    Illustrate which budget expenses does not result in the creation of assets or reduction of liability. Give illustrations too.

    		•
  • Q : What is Bank rate Bank rate : This is

    Bank rate: This is the rate at which the central bank loans money to commercial bank.

    		•
  • Q : Business fixed investment-Inventory

    Describe the following terms: (i) Business fixed investment (ii) Inventory Investment (iii) Residential construction Investment (iv) Public Investment.

  • Q : Origin of scarcity problem for each

    Can anybody suggest me the proper explanation for given problem regarding problem of scarcity in economics generally. The problem of scarcity means that the origin for each economic activity is to: (v) facilitate s

    		•
  • Q : Calculating Trade balance Suppose the

    Suppose the value of exports of goods of a country is Rs. 1,000 crores and the value of imports of goods is Rs. 1,200 crores, what will be the trade balance (or balance of trade)?

    		•
  • Q : Fiscal measures to accurate

    Describe the fiscal measures to accurate the condition of deficient demand and excess demand. Answer: Fiscal measures are the government’s budgetary policy th

    		•
  • Q : Paradox of Value problem I have a

    I have a problem in economics on Paradox of Value problem. Please help me in the following question. The Diamond Water Paradox occurs from the difficulties in differentiating between: (i) Consumer surplus and the total utility. (ii) Total utility and

    		•
  • Q : Market Economy Explain the statement "

    Explain the statement "Hypothes is the basic short run and long run behaviors of the airline industry in a market economy".

    		•