Gross private domestic investment
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Gross private domestic investment is the measure of physical investment used in computing
net exports, and government spending on goods and services) it is by far the least stable.[1]
Gross private domestic investment includes 4 types of investment:[2]
- Non-residential investment: Expenditures by firms on capital such as tools, machinery, and factories.
- Residential Investment: Expenditures on residential structures and residential equipment owned by landlords and rented to tenants.
- Change in inventories (or stocks): The change of firm inventories in a given period. (Inventory or stock is the goods that are produced by firms but kept to be sold later.)
References
- ^ "learn about gross private domestic investment".
- ^ "14.1 The Role and Nature of Investment". 2016-12-01.
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