324 NATURE OF CAPITAL AND INCOME [Cuar. XVIII 
in such a way as to supply him with food and the mate- 
rials for constructing other instruments. By means of 
dwellings and other buildings he is enabled to divert the 
elements from contact with his body and with the objects 
of wealth which he stores in them. By means of machin- 
ery, tools, and other instruments of production, he is 
enabled to fashion new instruments to add to his stocks 
or to take the place of those destroyed or worn out. By 
means of the final finished products which minister to his 
more immediate enjoyments, such, for instance, as food, 
clothing, books, ornaments, he is enabled to consummate 
the objects for which the entire mass of wealth is produced 
and kept in existence, namely, the satisfaction of his de- 
sires, whether these be for the necessities, the luxuries, the 
comforts, or the amusements of life. In these and other 
ways the stock of wealth will modify the course of natural 
events in ways more or less agreeable to the owner. These 
changes in the historical stream of events which occur by 
means of wealth constitute what have been called the serv- 
ices of wealth. 
In our picture, therefore, we observe (1) a stock of instru- 
ments existing at an instant of time, and (2) a stream of 
services through time, flowing from this stock of wealth. 
The stock of wealth is called capital, and its stream of serv-. 
ices is called income. The income is the more important 
concept of the two, for the capital exists merely for the 
sake of the income, and the ownership of the capital has no 
other significance than the ownership of possible income 
from that capital. The division of income between differ- 
ent owners constitutes in reality a division of ownership 
of the capital which bears the income, and the individual 
shares constitute what are called property rights. 
§2 
From this it is apparent that property rights and wealth 
go side by side, and that neither can exist without the other,