gross private domestic investment

ECON MACRO
5th Edition
ISBN:9781337000529
Author:William A. McEachern
Publisher:William A. McEachern
Chapter6: Tracking The U.s. Economy
Section: Chapter Questions
Problem 1.3P
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Given the following data, answer questions a through c. 

 

Billions of dollars 

New Residential Construction 

$500 

Purchase of existing homes 

$250 

Sales value of newly issued stocks and bonds 

$600 

New physical capital 

$700 

Depreciation 

$200 

New Intellectual property 

$100 

Household purchases of new furniture 

$50 

Net change in firms’ inventories 

$100 

Production of new intermediate goods 

$700 

 

  1. What is the value gross private domestic investment? 

Answer:  

  1. What is the value of net investment? 
  1. Are any intermediate goods counted in gross investment? 
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