Suppose a firm purchases new equipment to replace worn-out equipment at its factory. This purchase of new equipment is considered
A. inventory investment.
B. durable consumption goods.
C. gross private domestic investment.
D. none of these.
Answer: C
You might also like to view...
Use the following table to answer the question below.Quantity DemandedPriceQuantity Supplied5$7966875784693510241113If demand decreased by 4 units at each price, what would the new equilibrium price and quantity be?
A. $6 and 8 units B. $5 and 7 units C. $3 and 5 units D. $4 and 6 units
In monopolistic competition, in the long run customers pay a price that is
A) less than the minimum ATC. B) more than the minimum ATC. C) equal to both the minimum ATC and the minimum AVC. D) equal to the minimum ATC, but not equal to the minimum AVC.
A fall in the domestic interest rate leads to capital outflows, which make the exchange rate depreciate. The monetary expansion of the mid-1990s was expected to lead to a currency appreciation.
Answer the following statement true (T) or false (F)
The time it takes to identify and examine the nature and seriousness of an economic problem is the _____
a. activity lag b. decision-making lag c. effectiveness lag d. implementation lag e. recognition lag