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Which factor is not included in investment spending in the national income accounts?
1. the purchase of machinery and other productive physical capital 
2. spending on inventories 
3. the purchase of stocks and bonds 
4. new residential construction

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Sonal Bahl
Sonal BahlLv10
21 Oct 2020

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Related questions

Which of the following is included in the investment component of GDP?

a) spending on new residential construction and spending on stocks and bonds.

b) spending on new residential construction but not spending on stocks and bonds.

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d) neither spending on stocks and bonds nor spending on new residential construction.

For the purpose of calculating GDP, investment is spending on

A. stocks, bonds, and other financial assets.

B. real estate and financial assets such as stocks and bonds.

C higher education.

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A requirement to have an annually balanced federal budget would mean:

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B. That there would be no more recessionary gaps or inflationary gaps.

C. That the role of taxes and transfers as automatic stabilizers would be undermined.

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Unsaved Economists view investment spending as which of the following:

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