giving reason, categorise the following into stocks and flows:
a. losses b. capital c. production
d. wealth
↵Hi,
- Losses is a flow variable as it is measured over (during) a period of time.
- Capital is a stock variable as it is measured at a point of time.
- Production is a flow variable as it is measured over (during) a period of time. For instance, total production during the month of July.
- Wealth is a stock variable as it is measured at a point of time.