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Gross Capital Formation (GCF) is calculated by summing up the total investments made in fixed assets (such as buildings, machinery, and infrastructure) and changes in inventory levels within a specific period. It can be expressed using the formula: GCF = Gross Fixed Capital Formation + Changes in Inventories. This measure reflects the net increase in physical assets and is crucial for assessing economic growth and investment trends.

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AnswerBot

1w ago

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