The Economic Investment by The Experts

THE ECONOMIC INVESTMENT by THE EXPERTS

WHAT IS THE INVESTMENT ?

We know about what investment is in general, which is an activity done by individual / group with the purpose of "medium and long term" in order to get results that match what is expected by the investor (increase in profit). The size of the profits derived depends on the strategy that is on the way when planning or making an investment.

However, there are some things that must be understood in terms of understanding the investment itself. Understanding the investment (so far as I understand), there are 2 of which are economic investment and investment financially.

Then there is the question about"What is the Economic Investment ?"

According to the experts like Haming and Basalamah who stated that "investment is the current expenditure to buy real assets (land, house, car, etc.) or also financial assets have a goal to earn greater income in the future" .

Furthermore, it is also stated that investment is a form of activity related to the business of withdrawal of resources (money / profit) used to hold capital goods at the present time, and then from the capital goods will be obtained a new product flow in the future.

This is also in line with the opinion of Sadono Sukirno stating that "Investment is the expenditure or expenditure or planting a capital of a company to buy goods that also belong to the capital and also other equipment for production that has the ability to produce goods as well as the services available in the economy ".

But basically the thinking of people who will invest is to buy stocks when the stock price is cheap and sell when the stock price rises, but it is not said to be an investment. But the real investment is in line with what the experts have described.

Investment can also be interpreted in the economic sphere which can be categorized as follows :

1. There are purchases of types of capital goods such as equipment and machinery to foster various types of companies and industries. Why is that? Simple model, if you aspire to build a company of four-wheeled tires, then you should make purchases of artificial equipment and other machines, making the purchase of equipment that is mentioned investment.


2. The existence of expenditure to build shelter, factory and office buildings and other supporting buildings. The investment is to build the factory, so the factory can operate and make more capital.


3. The addition of merchandise inventory scores is still unsold, at the end of the year there is a calculation of national income on raw materials and goods that are still in production progress. Well, if the above three are added up then gross investment is gross investment which includes investment that aims to improve the artificial results in the economy and the role of changing capital goods that have been depreciated.