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(Investment) Given the following data, answer questions a through c.

Billions of Dollars

New residential construction                               $500
Purchases of existing homes                               250
Sales value of newly issued stocks and bonds        600
New physical capital                                          800
Depreciation                                                    200
Household purchases of new furniture                   50
Net change in firms' inventories                          100
Production of new intermediate goods                  700

a. What is the value of gross private domestic investment?

b. What is the value of net investment?

c. Are any intermediate goods counted in gross investment?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M91719771

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