If the U.S. economy adds to the capital stock, this may require a temporary decrease in the amount of present consumption.

Question

Quizplus · Accepted Answer

Adding to the capital stock typically involves investing in machinery, infrastructure, or other productive assets, which may require diverting resources from current consumption. This can be a trade-off between present consumption and future economic growth and productivity.

If the US Economy Adds to the Capital Stock, This May Require