Investment includes
A)GM's purchase of robotic machinery.
B)student purchases of laptops.
C)Wal-Mart's purchase of health insurance for its workers.
D)the New York City Library's purchase of new books.
E)wages paid to military personnel.

Question

Quizplus · Accepted Answer

Investment refers to the purchase of assets that are expected to generate income or increase in value over time. GM's purchase of robotic machinery meets this definition, as the machinery is a long-term asset that is expected to increase productivity and profits for the company. The other options listed may involve spending money, but they do not necessarily qualify as investment since they do not involve the acquisition of income-generating or value-appreciating assets.

Investment Includes