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In the steady state, investment is ________ and net investment is ________.

c. positive; zero

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Answer:

c. positive; zero

Step-by-step explanation:

In the steady state, investment is positive and net investment is zero.

A steady-state describes a scenario where the investment level in an economy matches depreciation. New investments increase capital stock. Growth or positive investment is possible where new investments are greater than depreciation. In a steady-state, the net investment is zero because depreciation erodes the value of new investments.

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