Gross private domestic investment includes purchases of:
A) government T-bills.
B) existing residential housing.
C) company stocks.
D) new factory equipment.

Question

Quizplus · Accepted Answer

Gross private domestic investment includes purchases of new factory equipment, which refers to the creation of new physical assets that contribute to economic growth. Purchases of government T-bills and company stocks do not count as investment in physical assets, while purchases of existing residential housing are part of residential investment, not gross private domestic investment.

Gross Private Domestic Investment Includes Purchases Of