Which of the following items would NOT be a part of private investment in the computation of GDP?
A) A new factory building
B) New factory equipment
C) A rise in inventory levels at a firm
D) An old shopping center acquired by a firm

Question

Quizplus · Accepted Answer

Private investment includes the purchase of new structures (such as factories) and equipment, as well as an increase in inventory levels. However, the acquisition of an old shopping center by a firm would not be counted as private investment in the computation of GDP as it is an existing asset and not newly produced.

Which of the Following Items Would NOT Be a Part