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2.2 How the macroeconomy works: the circular flow of income, aggregate demand/aggregate supply analysis and related concepts

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Question 8

As a component of aggregate demand, investment is best defined as total expenditure

on financial assets such as shares, bonds, and savings accounts.

by firms on capital goods used in the production of goods and services.

by households on primary, secondary, and tertiary sector finished goods.

by the government on public services, welfare benefits, and infrastructure.

2.2 How the macroeconomy works: the circular flow of income, aggregate demand/aggregate supply analysis and related concepts Questions

  1. A Level
  2. /Economics
  3. /2.2 How the macroeconomy works: the circular flow of income, aggregate demand/aggregate supply analysis and related concepts