Advertisements
Advertisements
Question
Read the following statements carefully:
Statement 1 - Net investment is a stock concept.
Statement 2 - Capital is a flow concept.
In the light of the given statements, choose the correct alternative from the following:
Options
Statement 1 is true and statement 2 is false
Statement 1 is false and statement 2 is true
Both statements 1 and 2 are true
Both statements 1 and 2 are false
Solution
Both statements 1 and 2 are false
APPEARS IN
RELATED QUESTIONS
Define stocks.
Giving reasons categories the following into stock and flow:-
(i) Capital
(ii) Saving
(iii) Gross domestic product
(iv) Wealth
Define flows.
Distinguish between stock and flow variables with suitable examples.
Distinguish between stocks and flows. Give two examples of each.
Define flow variables.
Distinguish between stock and flow. Between net investment and capital, which is a stock and which is a flow? Compare net investment and capital with flow of water into a tank.
Define the following: Flow Variables
Increase in Stock of Capital is known as:
Which of the following is stock?
Which one of the following is included in ‘Stock’?
Which one is included inflow?
Which of the following is not flow?