in​ economics the creation of capital is referred to as
Investment or capital accumulation
title: Capital (economics) text: used in a production of saleable goods and services. In Marxian political economy, capital is money used to buy something only in order to sell it again to realize a financial profit. For Marx capital only exists within the process of economic exchange—it is wealth that grows out of the process of circulation itself, and for Marx it formed the basis of the economic system of capitalism. In more contemporary schools of economics, this form of capital is generally referred to as "financial capital" and is distinguished from "capital goods". Classical and neoclassical economics regard capital as one of the title: Capital (economics) text: factors of production (alongside the other factors: land and labour). All other inputs to production are called intangibles in classical economics. This includes organization, entrepreneurship, knowledge, goodwill, or management (which some characterize as talent, social capital or instructional capital). This is what makes it a factor of production: These distinctions of convenience have carried over to contemporary economic theory. There was the further clarification that capital is a stock. As such, its value can be estimated at a point in time. By contrast, investment, as production to be added to the capital stock, is described as taking place over time title: Capital (economics) text: Capital (economics) In economics, capital consists of an asset that can enhance one's power to perform economically useful work. For example, in a fundamental sense a stone or an arrow is capital for a caveman who can use it as a hunting instrument, while roads are capital for inhabitants of a city. Adam Smith defines capital as "That part of men's stock which he expects to afford him revenue". The term "stock" is derived from the Old English word for stump or tree trunk. It has been used to refer to all the moveable property of a farm since at title: Capital accumulation text: Capital accumulation Capital accumulation (also termed the accumulation of capital) is the dynamic that motivates the pursuit of profit, involving the investment of money or any financial asset with the goal of increasing the initial monetary value of said asset as a financial return whether in the form of profit, rent, interest, royalties or capital gains. The process of capital accumulation forms the basis of capitalism, and is one of the defining characteristics of a capitalist economic system. The definition of capital accumulation is subject to controversy and ambiguities, because it could refer to: Most often, capital accumulation involves both title: Capital (economics) text: ("per year"), thus a flow. Marxian economics distinguishes between different forms of capital: Earlier illustrations often described capital as physical items, such as tools, buildings, and vehicles that are used in the production process. Since at least the 1960s economists have increasingly focused on broader forms of capital. For example, investment in skills and education can be viewed as building up human capital or knowledge capital, and investments in intellectual property can be viewed as building up intellectual capital. These terms lead to certain questions and controversies discussed in those articles. Detailed classifications of capital that have been used in