(redirected from Investments)
Also found in: Dictionary, Thesaurus, Medical, Legal, Financial, Idioms.


1. Economics the amount by which the stock of capital (plant, machinery, materials, etc.) in an enterprise or economy changes
2. Biology the outer layer or covering of an organ, part, or organism
Collins Discovery Encyclopedia, 1st edition © HarperCollins Publishers 2005
The following article is from The Great Soviet Encyclopedia (1979). It might be outdated or ideologically biased.



the long-term placement of capital in industry, agriculture, transport, or other sectors of the domestic or a foreign economy for the purpose of deriving profits. In bourgeois economics, two kinds of investments are distinguished: financial investments and real investments.

A financial investment is the exchange of capital for stocks, bonds, and other securities issued by corporations or the state. A real investment is the placement of capital into productive fixed capital (buildings, installations, equipment), housing construction, and goods and material supplies in the country itself and abroad. Investments are realized by private corporations and the state. Private investments are directed into sectors of the national economy where the greatest profit can be derived (primarily, industry); state investments are directed into less profitable branches, for example, into the infrastructure (the underlying economic sectors of society, such as education, communications, and transport). Private investments are financed out of internal resources (depreciation deductions and retained profits) and out of other sources enlisted for this purpose: long-term credit and the issuance of securities. The financial sources of state investments are taxes, domestic and foreign loans, the income of state enterprises, and the issue of new money.

The financial operations involving investments are realized through banks (commercial and investment banks) and other financial agencies: savings banks, insurance companies, investment trusts, pension funds, and the like, which contribute to the accumulation of huge funds that belong to the population and that are used in the interests of the financial oligarchy.

The bourgeois economic experts foresee the limits of investments not in capitalist production relations but in technical production conditions and psychological factors. Although it is true that investments create income and expand markets, the antagonistic class relations of capitalist society ultimately restrict growth. The operation of the universal law of capital accumulation leads to a situation in which, because the investments are followed by a rise in the organic structure of capital, the wealth of the capitalists is growing whereas the conditions of life of the working class are deteriorating.


The Great Soviet Encyclopedia, 3rd Edition (1970-1979). © 2010 The Gale Group, Inc. All rights reserved.
References in periodicals archive ?
Another employer concern has been the fiduciary responsibility and liability for investment of contributions made to a plan through automatic enrollment.
The plan participant must have had the opportunity to choose his or her investments, but did not do so.
Real estate developers, however, are beginning to reassess investment strategies (Office space demand?
The sobering answer is this: Operating your plan according to 404(a), offering an acceptable menu of investments (with a process to monitor them), and working within 404(c), a set of guidelines which includes allowing your participants to choose their own investment mix, will go a long way in shielding the fiduciaries and trustees of the plan from participant-directed lawsuits.
A "cumulative profit" is, of course, desired for any investment, but the recovery of past investments or expenditures incurred for the project or purpose (i.e., the recovery of cumulative sunk costs) is not considered when deciding whether to make a new, incremental payment or investment.
The amount of money that can be borrowed from the policy could change substantially if investments don't perform as expected, says Williams.
Twenty-five years ago, companies were addressing investment recovery as a very ad hoc, informal discipline.
Later-stage deals have historically soaked up more money per deal than early-stage investments, and the gap is widening there as well.
Over the past several years, certain not-for-profit organizations, healthcare entities, pension plans and investment companies--including funds of funds have dramatically increased their investment in financial instruments that do not have a readily determinable market value.
Structured investment products provide other opportunities for Latin investors.
"Some fiduciaries are spelled out as trustees in the plan document, but you can have functional fiduciaries, who perform a fiduciary activity, like selecting investments for a 401(k) plan.
The board will strike an investment committee this winter to formulate strategies on how to implement this investment approach, which would incorporate PWRDF's mission into its investment decisions, according to Jill Martin, PWRDF finance coordinator.

Full browser ?