Examlex
Which of the following is a general property of a basic solution?
Capital Stock
The total amount of physical, financial, and human capital available in an economy, used to produce goods and services.
Gross Investment
The total amount of investment spent on new fixed investment plus replacement investment, without accounting for depreciation.
Net Investment
The total amount invested in buying new capital and replacing depreciated capital within a specific period.
Potential Output
The highest level of real GDP that can be sustained over the long term without increasing inflation, reflecting the maximum productive capacity of an economy.
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