Depreciation Is All of the Following, Except

question 154

Multiple Choice

Depreciation is all of the following, except:

• A) The difference between GDP and NDP
• B) The difference between gross investment and net investment
• C) The accumulation of capital stock
• D) The consumption of fixed capital

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Definitions:

Structural Unemployment

An unemployment scenario where there's an incongruence between the skillsets provided by the labor market and those needed by employers.

Efficiency Wages

Wages that are deliberately set above the market equilibrium to increase productivity by attracting better applicants, reducing turnover, or increasing worker effort.

Equilibrium Level

The state in which market supply and demand balance each other, and as a result, prices become stable.

Structural Unemployment

A situation where there is a mismatch between the skills workers have and the skills needed by employers due to technological changes or other factors.