According to the national spending approach, which of the following is counted in investment?
A) A restaurant buys a new wood-fired oven for baking pizzas.
B) A college graduate buys a new car after graduation.
C) A student pays for tuition at a university.
D) A retiree buys newly issued U.S. government bonds

Question

Quizplus · Accepted Answer

Investment includes purchases of new equipment, machinery, buildings, or other capital goods that are expected to yield benefits over a period of time. The purchase of a new oven by a restaurant would fall under this category. The other options do not involve the purchase of capital goods for investment purposes.

According to the National Spending Approach, Which of the Following