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Measuring National Income · Question 59 of 69

Question 59

MediumOriginal question

A firm buys a computer for its office. In national income this is

Options for question 59

Show the answer and explanation
CorrectNot quiteAnswer C

Correct answer: C

Explanation

  1. The computer will be used for several years; it is not used up in one year.

  2. So it is a capital good, a final purchase counted as investment.

Concept
Capital purchases are final
Typical time
70 s
Your time
—
The rule this testsWhat is counted and what is not
Practise this chapter →

Ten questions from Measuring National Income, at your own pace.

Practise this chapter →

Ten questions from Measuring National Income, at your own pace.