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In our class this semester, we compared the meanings of saving and investment in macroeconomics. Please...

In our class this semester, we compared the meanings of saving and investment in macroeconomics. Please determine which of the following activities are regarded as an Investment (I)in its macroeconomics sense?

a. You purchase a certificate of deposit at Wells Fargo.

b. You borrow money to build a new lab for your engineering firm.

c. You buy a number of Microsoft bonds.

d. David purchases stock in AT&T, which is a private company.

e. “a” and “b”f. “b” and “c”

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Answer #1

investment will only be those activitie that generate more revenue for the investor and bonds and stocks are not considered as investment in economics.

the answer is "B" only.

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