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Define induced investment: investment in inventories and equipment which is derived from and varies with changes in final output âdistinguished from â¦ investment in inventories and equipment which is derived from and varies with changes in final output âdistinguished from autonomous investmentâ¦ See the full definition
The traditional definition of capital investment is an investment in property, plant or equipment. Such investments are the essential means by which businesses provide the goods and services to customers.Capital investments are not sold in the course of business but are necessary for ongoing business activities.orking Capital. Do not confuse working capital with capital investments. When you increase your working capital, you are not making capital investments. A capital investment is not an expense made for inventory, cash put into a savings account, or money spent to acquire or increase current assets.