Which of the Following Causes the Capital Stock to Increase

question 123

Multiple Choice

Which of the following causes the capital stock to increase?  

• A) whenever gross investment is positive 
• B) whenever gross investment is negative 
• C) when net investment is positive 
• D) when net investment is negative

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Definitions:

Price Makers

Entities in a market that have the power to set prices for goods or services because they hold significant control over the market or the product.

Oligopoly

A market structure in which a small number of firms dominate the market, leading to limited competition and possibly higher prices for consumers.

Market Power

The ability of a firm or group of firms to influence or control prices and total market output.

Restrict Advertising

The imposition of limitations on the timing, nature, or content of commercial advertising.