Business investment
What Business investment means in Economics B A-Level, as defined for Pearson Edexcel.
Definitions of Business investment
Exam boards and our study guides word this term in slightly different ways. Learn the version your board uses.
Check what you remember
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Reference: Pearson Edexcel
Financing of investment by businesses through credit, allowing them to invest in capital, expand operations and manage cash flow.
Spending on capital by firms, for which credit is vital, along with managing cash flow.
Topics that use Business investment
- Role of banks in the economy (Pearson Edexcel A-Level)
- Types and sources of credit and the impact of credit within the economy (Pearson Edexcel A-Level)
Related terms
- Aggregate demand
- Collateral
- Consumer spending
- Credit provision
- Economic growth
- Financial institutions
- Financial intermediation
- Interest rates
Using Business investment in the exam
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