What word do economists use to refer to the purchase of goods that will be used in the future to produce more goods and services?
A)capital
B)consumption
C)investment
D)costs

Question

Quizplus · Accepted Answer

Economists use the term "investment" to refer to the purchase of goods that will be used in the future to produce more goods and services. This can include purchases of machinery, equipment, and even education and training for workers. The goal of these investments is to increase productivity and ultimately generate more income and wealth. Option A, "capital," is related to investment but refers more specifically to the stock of equipment and structures used to produce goods and services. Option B, "consumption," refers to the purchase of goods and services for immediate use and is not directly related to investment. Option D, "costs," is a general term that includes various types of expenses, but does not specifically refer to investment.

What Word Do Economists Use to Refer to the Purchase