Advertisements
Advertisements
Question
Which factors drive induced investment?
Options
Only depreciation of capital goods
New technology, population growth, or long-term policy goals — not by profit motive
Profit expectations and rising consumer demand
Only government targets for employment
MCQ
Advertisements
Solution
Induced investment is driven by profit expectations and rising consumer demand. Firms expand fixed assets and stocks when they expect profitable sales.
shaalaa.com
Is there an error in this question or solution?
