In this article we will discuss about:- 1. Definitions of Capital Formation 2. Process of Capital Formation 3. Factors 4. Rate 5. Reasons for Slow Growth Rate 6. Suggestions. Definitions of Capital Formation: The capital formation actually signifies a very important aspect of economic development. This means making and increasing of more capital goods, such as machines, tools, factories, buildings, raw [...]
In this article we will discuss about:- 1. Meaning and Definitions of Capital 2. Characteristics of Capital 3. Functions 4. Examples 5. Importance. Meaning and Definitions of Capital: Capital is defined as "All those man-made goods which are used in further production of wealth." Thus, capital is a man-made resource of production. Machinery, tools and equipment of all kinds, buildings, [...]
Basically, we are focusing on two relationships: 1. Relation between Average Cost and Marginal Cost, and 2. Relation between Total Cost and Marginal Cost. Details are as under: 1. Relation between Average Cost and Marginal Cost: Relation between average cost and marginal cost is explained through Table 8 and Fig. 9. Table 8 and Fig. 9 offer the following observations [...]