A small economy starts the year with $1 million in capital. During the course of the year,

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A small economy starts the year with $1 million in capital. During the course of the year, gross investment is $150,000 and depreciation is $50,000. What is the economy’s capital stock at the end of the year?

a. $1,150,000

b. $1,100,000

c. $1,000,000

d. $850,000

e. $800,000

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Macroeconomics

ISBN: 9781264112456

22nd Edition

Authors: Campbell McConnell, Stanley Brue, Sean Flynn

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Question Posted: Mar 01, 2024 08:02 AM

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A small economy starts the year with $1 million in capital. During the course of the year,

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Macroeconomics

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