capital


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Related to capital: capital letter, Capital market

Capital

Capital

Money that one has invested. For example, one uses capital when building a factory to make a new product. Likewise, one uses capital when one buys a single share of a stock. Free flow of capital into investments is thought to be a major component of economic growth. Generally speaking, businesses can only expand when they are able to raise capital from investors or borrow it from a bank or through a bond issue. See also: Capitalization, Capitalism.

Capital.

Capital is money that is used to generate income or make an investment. For example, the money you use to buy shares of a mutual fund is capital that you're investing in the fund.

Companies raise capital from investors by selling stocks and bonds and use the money to expand, make acquisitions, or otherwise build the business.

The term capital markets refers to the physical and electronic environments where this capital is raised, either through public offerings or private placements.

capital

  1. the funds invested in a BUSINESS in order to acquire the ASSETS which the business needs to trade. Capital can consist of SHARE CAPITAL subscribed by SHAREHOLDERS or LOAN CAPITAL provided by lenders.
  2. GOODS such as plant, machinery and equipment which are used to produce other goods and services. See CAPITAL STOCK, INVESTMENT.

capital

the contribution to productive activity made by INVESTMENT in physical capital (for example, factories, offices, machinery, tools) and in HUMAN CAPITAL (for example, general education, vocational training). Capital is one of the three main FACTORS OF PRODUCTION, the other two being LABOUR and NATURAL RESOURCES. Physical (and human) capital make a significant contribution towards ECONOMIC GROWTH. See CAPITAL FORMATION, CAPITAL STOCK, CAPITAL WIDENING, CAPITAL DEEPENING, GROSS FIXED CAPITAL FORMATION, CAPITAL ACCUMULATION.

capital

(1) In architecture, the top part of a column.(2) In finance: (a) All the accumulated goods, possessions, and assets used for the production of income and wealth. (b) The amount invested in business.
References in classic literature ?
This certainly had not a profitable appearance, and I shook my head as if I would imply that it would be difficult to lay by much accumulative capital from such a source of income.
I seized a large man of war, tied a cable to the prow, and, lifting up the anchors, I stripped myself, put my clothes (together with my coverlet, which I carried under my arm) into the vessel, and, drawing it after me, between wading and swimming arrived at the royal port of Blefuscu, where the people had long expected me: they lent me two guides to direct me to the capital city, which is of the same name.
I will go back to my capital, which I am glad to find is so near yours.
To describe this growth in a single sentence, we might say that the Bell telephone secured its first million of capital in 1879; its first million of earnings in 1882; its first million of dividends in 1884; its first million of surplus in 1885.
The lower strata of the middle class -- the small tradespeople, shopkeepers, retired tradesmen generally, the handicraftsmen and peasants -- all these sink gradually into the proletariat, partly because their diminutive capital does not suffice for the scale on which Modern Industry is carried on, and is swamped in the competition with the large capitalists, partly because their specialized skill is rendered worthless by the new methods of production.
Rothschild; but as my motive in travelling to your capital would not have been for the pleasure of dabbling in stocks, I stayed away till some favorable chance should present itself of carrying my wish into execution.
For the same reason, the parents will have to sell the younger son into bondage or the ranks of the army, in order that he may earn more towards the family capital.
Thus countenanced, however, he obtained, in 1809, a charter from the legislature of the State of New York, incorporating a company under the name of "The American Fur Company," with a capital of one million of dollars, with the privilege of increasing it to two millions.
My location, to be sure, was an excellent one, being central, and I had capital blacking and brushes.
As he went lazily on, dragging one foot after another, a man came in sight, trotting gaily along on a capital horse.
Richardson, Barth, and Overweg, jealously anxious to push their investigations farther, arrived at Tunis and Tripoli, like their predecessors, and got as far as Mourzouk, the capital of Fezzan.
Really I don't care about that, I don't care at all," said Prince Andrew, beginning to understand that his news of the battle before Krems was really of small importance in view of such events as the fall of Austria's capital.