Question

what is physical capital formation​

Answer 1

Answer:

Capital formation is a term used to describe the net capital accumulation during an accounting period for a particular country. The term refers to additions of capital goods, such as equipment, tools, transportation assets, and electricity.

Answer 2

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Physical capital is one of what economists call the three main factors of production. It consists of tangible, man-made goods that assist in the process of creating a product or service. The machinery, buildings, office or warehouse supplies, vehicles, and computers that a company owns are all considered part of its physical capital.

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