All of the Following Contribute to Low Investment Spending in DVCs

question 117

Multiple Choice

All of the following contribute to low investment spending in DVCs except

• A) low rates of saving.
• B) inadequacy of public capital goods (infrastructure).
• C) political instability.
• D) expensive labor.

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Definitions:

Marginal Cost

The increase in total production costs from making one additional unit of a product or service.

Producing Unit

An individual entity, such as a factory or company, involved in the production of goods or services.

Marginal Revenue

The additional income received from selling one more unit of a good or service.

Selling Unit

A specific quantity or configuration of a product that is made available for sale to consumers.