In economics, the term investment refers to:
A)the cost of employing human capital.
B)expenditure on expense accounts of employees.
C)firms' expenditure on salaries and rent.
D)business spending for acquiring capital goods.
E)the expenses on the purchase of stocks of a corporation.

Question

Quizplus · Accepted Answer

Investment in economics refers to the expenditure that firms make on acquiring capital goods such as machinery, equipment, buildings, and other long-term assets that are used to produce goods and services. It is a crucial component of economic growth and development.

In Economics, the Term Investment Refers To