Capital theory I

Sine qua non for capital goods is saving

the structure of production can be interpreted simultaneously and synchroneously

Saving implies the renunciation of more immediate ends in order to attain more highly value ends in the future

each worker tends to earn his contribution to the production process

It is a greater error to save in excess in comparison to investments than the other way around

We always try to reduce the number of stages that separate us from our end

It is essential to coordinate savings and the duration of investments

Capital goods are the intermediate stages in an actor´s production process,

The close a capital good is to the consumer stage, the easier it is to convert it

When we undertake longer actions we do it because

Time preference is always

the shorter the production process the more productive it tends to be

The law of time preference says

If savings fall short of future investment needs there will be a

a capitalist is a person who

Saving is the post-ponement of consumption

the difference between poor countries and rich countries is the amount of well-invested capital goods

we prefer future goods to present goods is another from to express the law of time preference

the redistribution of wealth destroys capital goods and makes society poorer

In order to develop, the developing countries should (wrong answer)

One saves in order to

as the division of labor and civilization advances more people more