Distinguish between stock and flow
|Meaning||Stock variable refers to that variable, which is measured at a particular point of time||Flow variable refers to that variable, which is measured over a period of time|
|Time Dimension||It does not have a time dimension.||It has a time dimension as its magnitude can be measured over a period of time.|
|Nature of concept||It is a static concept||It is a dynamic concept|
|Examples||1. Production of India as on 31.03.2023
2. Total number of Maruti Cars in Delhi.
3. Money supply (money in circulation).
4. National Wealth
5. Quantity of wheat stored.
|1. Number of births during 2023.
2. Maruti cars manufactured during January 2023.
3. Expenditure or transactions in money.
4. National Income.
5. Quantity of wheat produced.
Net Investment is a flow as it is measured over a period of time.
Capital is a stock as it is measured at a point of time.