154 ECONOMIC ESSAYS IN HONOR OF JOHN BATES CLARK 
various related questions of rent, capitalization, etc. He declares 
repeatedly: “capital is capitalized income,” and makes use almost 
exclusively of a valuation concept in that sense. Professor J. R. 
Turner too makes use * consistently of an advanced valuation 
concept of capital. These views and those of the writer * are in 
large measure in accord. 
Ely as early as 1893 * began with a dual capital concept as 
“every product which is used or held for the purpose of producing 
or acquiring wealth,” but almost immediately speaks of capital 
from the individual standpoint as “any economic good” (not 
merely products) held “for the purpose of gaining wealth.” Later 
editions, though repeating old definitions, give increasing emphasis 
to the individual, valuation conception, which finally becomes 
the only one actually used. “The business world . . . speaks 
of the total investment—the amount of money ‘tied up’ in a 
business unit—as its capital. This is the better and more common 
usage.” * 
Professor Fred M. Taylor ° speaks approvingly of “one new 
way of conceiving of capital” as “a fund of value . . . rather 
than things themselves”; and adds: “Even those who doubt the 
soundness of this distinction are almost compelled to use it more 
or less on account of the ambiguities in which current controver- 
sies have involved the word capital.” 
Professor Bye ® in his formal definition follows Fisher: “a 
stock of wealth in existence at a given time,” including land 
I~ JE 
== 
! Introduction to Economics, 1919. 
2 As developed in various places; see, among others, Quarterly Journal 
Economics, Vol. 15 (1900), pp. 1-45, “Recent Discussion of the Capital 
Concept”; “The Relations Between Rent and Interest,” paper read at the 
New Orleans meeting, with discussion, Publications of the American Eco- 
nomic Association, 3rd series (1904), Vol. 5, pp. 176-240; The Principles 
vf Economics (1904) ; American Economic Review, Vol. 4 (1914), pp. 68-92; 
Economic Principles (1915), p. 267: “Capital is a person’s investment 
power as expressed in terms of money, being a person’s property rights to 
income, estimated, as to amount, with reference to market conditions.” 
The definitions given in the references dating 1900 to 1904 followed in part 
Clark’s and Fisher's leads in conceiving of capital more nearly as the 
valuation expression merely of (material) wealth. In developing after 1904 
2» more adequate capitalization and “interest” theory, the writer returned 
with clearer convictions to the concention of capital that he had glimpsed 
before 1900. 
2 Qutlines of Economics. 
¢ Outlines of Economics, 4th revised edition (1923), p. 206; see also 
p. 103 et passim. 
® Principles (1913), p. 69. 
3 R. T. Bve. Principles of Economics, 1924.