Question

Fill in the blanks:
(a) Roads constructed by the government are ........................... (production/
capital formation).
(b) Purchase of a tractor by a farmer is a part of .......................... (production/
consumption).(c) A new house purchased by an individual is ..........................(consumption/
production).
(d) A doctor seeing a patient is .......................... (production/consumption).
(e) A student studying in a school is .......................... (production/consumption).

Answer 1

Answer:

a.capital formation

b.production

c.consumption

d.production

e.consumption

Answer 2

Answer:

capital formation

consumption

consumption

production

consumption