In economics. Investment means People saving money by buying securities Producin

Question

In economics. Investment means People saving money by buying securities Producing new capital Minimizing costs None of the above A capital Flight for a country is Sudden contraction of output in the particular country Sudden reduction of taxes in the particular country Sudden decrease in capital inflows front foreign investors None of the above In the USA. the "Under of last resort" can be Citibank US Treasury Federal Reserve All of the above By adopting the gold standard, a country's value of the currency is Fixed Not fixed Flexible It can expand independently of gold reserves The Fed Funds Rate is Directly set by the Federal Reserve The overnight interest rate for loans among commercial banks The interest rate paid by US Treasury bonds All of the above The Federal Reserve Consists of 12 district banks Includes 7 Board of Governors members Sets policy through the Federal Open Market Committee All of the above A reason we expect the Federal Reserve to start raising interest rates economic cycle is The risk of accelerating inflation The elevated level of unemployment The US Government request to the Federal Reserve The low consumer spending An economy experiencing deflation means that GDP growth is strong GDP is declining People with preexisting loans benefit All of the above

Explanation / Answer

25)

Investment refers to investing funds by saving money. If the entire income is spent, that will not be considered as investment. If some of the earnings were invested in companies by buying securities, companies will use those funds for investing. This process will increase GDP of the country.

Hence, correct option is (A)

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