Capital formation

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Updated: Aug 20, 2021

Net investment in fixed assets, i.e. additions to the stock of real capital. Gross fixed capital formation includes depreciation; net capital formation excludes it.

Reference: The Penguin Business Dictionary, 3rd edt.



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James Knight
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James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.