A 'circulating capital flow' leaves the raw materials industries and becomes 'goods-in-process' when it travels to the consumer goods industries.
If not, this would imply that an increasing scarcity of circulating capital is the phenomenon that could choke off the upswing.
Where, ZKON--net circulating capital demand; OKZ--period of stock conversion in days; DSO--period of receivables inflow in days; ODP--period of deferred payment in days.
If the demand for net circulating capital is higher than the level of net circulating capital, the company financial liquidity may be threatened.
Indeed, circulating capital (and jobs) conceivably might expand together with fixed capital.
In short, whereas conversion of circulating capital into machinery lowers domestic labor demand, capital exported abroad annihilates the demand altogether (Ricardo  1951, 397).
Rather, the above quotation should be viewed as an indirect criticism of Smith's f-c distinction which, in Marx's opinion, harbored a confusion of "circulating capital" with "capital of circulation" [Marx, 1978, p.
Thus, Marx's critique of Ricardo for confusing constant with fixed capital, and variable with circulating capital, boils down to Marx's warning that what had been maintained by Ricardo et al should not be identified with what was to be maintained by Marx himself.
The growth rate of circulating capital is determined as in the Simple Model, except that equation (1) is now
Therefore the effect of these parameters of the fixed capital growth-rate function (24) are incorporated into (29) although it is formally identical with (27), the growth rate of circulating capital only.
The property of invariability of the circulating capital in the period means that the endowment of circulating capital goods is a datum.
This hypothetical property (not assumed by Walras, but determined by the logic of consistency), which may be more formally stated as the proposition that produced goods are not made available before the end of the period, provides a sound basis for the hypothesis of invariability of the circulating capital in the period.