Research and Development (R&D) investments are the best example. Dedicating money to research, would enable companies to improve their physical capital (machines, facilities), and/or procedures. It is the way that manufacturing companies need to follow to enhance their productivity, and hence produce more competitive goods which will bring higher profits to the company.
Economic growth is considered as one of the engines that improve living standards within a country.
*ceteris paribus is a Latin phrase which literally means "other things equal".
The example of types of investments on the part of manufacturers that result in growth is research and development. The result of research and development may improve the nations' standard of living.
EXPLANATION
“Research and development” are the type of investment that can be made to improve nations standard of living. Research and development are known as innovative activities that are taken by governments or companies to develop new products, new services, or improve existing products into better products. Research and development constitute the development of the potential of finding new product and service for a better standard of living.
Research and development will differ from one institution to another institution. There are two kinds of primary models in research and development. The first one is actually tasked with developing new products or services, and the second one is tasked with research in scientific or technological fields for the purpose to facilitate future product development.
Research and development can differ from the vast majority of corporate activities, from a not intended one into yield immediate profit. Generally, research and development will have a greater risk and uncertain return on investment. Nevertheless, "research and development" are still important for the purpose of finding a better standard of living through new products and services.
Research and development have two main purposes, which is to create new products and to create a feature for the existing ones. Investing in research and development might be a good investment for the government so they will better up things through the result of research and development. Therefore, at the end, it will improve nations standard of living.
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If you’re interested in learning more about this topic, we recommend you to also take a look at the following questions:
Etnographic research: https://brainly.com/question/8699485
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KEYWORD: investments, manufactures, research and development
Subject: Social studies
Class: 10-12
Subchapter: Investments
