In November 2008, Automobile Executives from Ford, GM and Chrysler

question 153

Multiple Choice

In November 2008, automobile executives from Ford, GM and Chrysler testified to Congress that their firms needed a $25 billion bailout to prevent bankruptcies. The executives stated that part of the cash would be used to re- design production lines. The $25 billion is and the
Re- designed production lines are .

• A) net investment; gross investment
• B) gross investment; physical capital
• C) financial capital; physical capital
• D) physical capital; financial capital