A recent survey by India's central bank reported that spending plans by firms on large new projects fell by 46 percent in the year ending March 2012, compared with the prior year. This decrease will most directly impact

Question

Quizplus · Accepted Answer

Spending plans on large new projects are directly related to investments in physical capital, such as buildings, machinery, and equipment. A decrease in such spending would lead to slower growth in physical capital.

A Recent Survey by India's Central Bank Reported That Spending