The marginal benefit from investment comes from
A)increases in the prices of stocks.
B)only increased production in the future period.
C)having more capital in the current period.
D)increased production and more undepreciated capital in the future period.
E)only increased undepreciated capital in the future period.

Question

Quizplus · Accepted Answer

The marginal benefit from investment comes from increased production and more undepreciated capital in the future period. This is because investing in capital goods such as machinery and equipment increases the amount of productive resources available to a firm or economy, leading to higher output and income in the future. Additionally, having more undepreciated capital in the future period means that the firm or economy can continue to benefit from the initial investment without having to spend additional resources on replacing worn-out equipment.

The Marginal Benefit from Investment Comes from