Who would a macroeconomist consider as investment?
A) Joe purchases a bond issued by the Canadian government
B) David purchases shares issued by MLSE
C) Nick builds a new house
D) Gina buys an amount of gold

Question

Quizplus · Accepted Answer

Investment, in macroeconomic terms, refers to the creation of new capital goods, residential construction, and changes in inventories. Nick building a new house falls directly into this category as it involves the creation of new residential property, which is considered an investment in macroeconomics. Purchasing bonds, shares, or gold does not create new goods or services, hence they are not considered investments in this context.

Who Would a Macroeconomist Consider as Investment