# GDP Investment Go back to [[Economics main page]] Personal investment not part of GDP Business investment **is** a part of GDP **Gross Privatte Domestic Investment** - Business investments - Residential investments - Inventories Exclude inventories and it's called "Fixed investment" Business investment swings fast because so few people are involved in making the decisions. Business confidence goes down -> business investment goes down -> economic activity falls Businesses hold back on investment until there are low hanging fruit to be had.