If Depreciation (Consumption of Fixed Capital) Exceeds Gross Investment, It

question 90

Multiple Choice

If depreciation (consumption of fixed capital) exceeds gross investment, it can be concluded that:

• A)nominal GDP is rising but real GDP is declining.
• B)net investment is negative.
• C)the economy is importing more than it exports.
• D)the economy is expanding.

---

Definitions:

Adaptive

Describing an organism or system that can adjust to changes in its environment or circumstances.

Signal Detection Theory

A method for measuring the capacity to distinguish between patterns that carry information and those random patterns that obscure the information.

Forest Ranger

A forest ranger is a professional responsible for the protection and preservation of forests, supervising activities within forested areas to ensure the health of the forest ecosystem.

Forest Fire

An uncontrolled fire that occurs in wilderness or rural areas, potentially causing extensive damage to ecosystems.