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January 17, 2018 

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FIXED INVESTMENT: Capital investment expenditures for factories, machinery, tools, and buildings. This is one of two main categories of gross private domestic investment included in the National Income and Product Accounts maintained by the Bureau of Economic Analysis. The other category is change in business inventories. This is that category is about generally about 95-97% of gross private domestic investment and that includes the capital goods that best reflects what most people consider capital investment. This category includes factories, machinery, tools, and buildings.

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INEFFICIENCY: When the economy is NOT obtaining the highest level of consumer satisfaction from the available resources. Inefficiency occurs if it is possible to reallocate resources in a way that would generate greater satisfaction.

     See also | efficiency | satisfaction | resources | scarcity | opportunity cost | market failures | market control | public good | externalities | information | good types | public choice | bureaucracy | principal-agent problem | special interest group | rational abstention | government functions | fourth rule of competition | fifth rule of imperfection | sixth rule of ignorance |


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ENTREPRENEURIAL BEHAVIOR

A preference for changing the status quo over maintaining it based on relatively greater satisfaction generated by novel information over redundant information. Entrepreneurial behavior underlies the inclination to undertake invention and innovation, including the creation of something new as well as the distribution and adoption of the new throughout society. It is the behavior most likely exhibited by entrepreneurship. An alternative is managerial behavior, which is a preference for maintaining the status quo over changing it.

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Today, you are likely to spend a great deal of time wandering around the shopping mall seeking to buy either a looseleaf notebook binder or hand lotion, a big bottle of hand lotion. Be on the lookout for deranged pelicans.
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Woodrow Wilson's portrait adorned the $100,000 bill that was removed from circulation in 1929. Woodrow Wilson was removed from circulation in 1924.
"Being defeated is only a temporary condition; giving up is what makes it permanent."

-- Marilyn vos Savant, Author

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