<p>As the name suggests, credit based investment is investment that takes place based on funds that are themselves borrowed.</p>

<p>An example of credit-based investment is leverage. </p>

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2015-09-02T18:54:15.603Z
2015-09-02T18:54:15.603Z
ChinG
<p>My knowledge of economics is very small so I would be grateful if anyone could answer this question in the style of 'economics for dummies'! </p>

<p>What is meant by the term 'credit-based investment' or 'credit-fuelled investment'? I have come across the term a number of times describing China's fiscal policy. </p>

<macroeconomics>
What is meant by credit-based investment?
Aerinmund Fagelson
# What is meant by credit-based investment?

(Asked by: username_0 on 2015-09-02)

My knowledge of economics is very small so I would be grateful if anyone could answer this question in the style of 'economics for dummies'!

What is meant by the term 'credit-based investment' or 'credit-fuelled investment'? I have come across the term a number of times describing China's fiscal policy.

**Tags:** macroeconomics


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## 1 answers

### Answer by username_1 on 2015-09-02. Score: 1 | Accepted answer

As the name suggests, credit based investment is investment that takes place based on funds that are themselves borrowed.

An example of credit-based investment is leverage.


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