What is the difference between the real investment and
financial investment?
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Answer Posted / khushal
real investment is the investment in physical or capital
goods such as machinary, equipment,etc while financial
investment is the investment in financial assets such as
share,debentures,t-bills,etc or in other words it indicates
the various ways in which a person can hold their wealth or
saving.real investment is the demand side factor while
financial investment is supply side factor for example :-
machinery(capital good) can be purchased either from own
savings or by taking loans and both savings and loan are
financial assets.
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