The amount of capital in an economy is a(n) ________, while the amount of investment is a(n) ________.
A) flow; stock
B) stock; flow
C) final good; intermediate good
D) intermediate good; final good
E) None of these answers are correct.

Question

Quizplus · Accepted Answer

Capital is a stock because it represents the total amount of physical assets available at a point in time, while investment is a flow because it represents the addition to the capital stock over a period of time.

The Amount of Capital in an Economy Is A(n) ________