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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
DEFINITION of 'Return On Investment-ROI'. A performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. ROI measures the amount of return on an investment relative to the investmentâs cost. To calculate ROI, the benefit (or return) of an investment is divided by the cost of the investment, and the result is expressed as a percentage or a ratio. The return on investment formula: In the above formula, Gain from Investmentâ refers to the proceeds obtained from the sale of the investment of interest.