A nation's capital stock will decline when Onet investment is positive, but less than gross investment Ogross investment exceeds depreciation gross investment exceeds net investment gross investment is positive, but less than net investment depreciation exceeds gross investment

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter20: Economic Growth
Section: Chapter Questions
Problem 9SCQ: Would the following events usually lead to capital deepening? Why or why not? A weak economy in...
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A nation's capital stock will decline when:
net investment is positive, but less than gross investment
Ogross investment exceeds depreciation
Ogross investment exceeds net investment
gross investment is positive, but less than net investment
depreciation exceeds gross investment
Transcribed Image Text:A nation's capital stock will decline when: net investment is positive, but less than gross investment Ogross investment exceeds depreciation Ogross investment exceeds net investment gross investment is positive, but less than net investment depreciation exceeds gross investment
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