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INDEX 415

of dividends out of, 75, 256;
of “real’’ person and of “fictitious’’
 person, 92-93; relation
of credit to, 96; fallacious statistics
 of, 98; confusion of income
 and, 105-112, 114-115,
351; fallacy of adding to income
savings of, 108, 134-135, 247-255,
 349, 353; income need not
leave unimpaired, 110-111;
outgo is not, 124; analogous to
and correlative with income,
184; physical productivity and
value productivity of, 185, 186;
physical return and value return
of, 185, 186; mistake of distinguishing
 between land and,
186-187; fundamental principle
of value of (value of future
income), 188; increase of, equals
excess of earnings over income,
237-238; relation between
amount of, and risk involved,
277, 408-409; reserves of, held
to avoid risk, 290; representation
 of income and, by polar
coordinates, 393-395; effect of
foreknown tax on increase of,
398-400; taxation of impairment
 of, 400-403.
Capital accounts, definition of, 67,
89; methods of balances and
couples in summing up, 90-92;
relation between income accounts
 and, 139, 256-264.
Capital balance, 81, 329.
Capital cost, 124-125.
Capital curves, 303-322, 369-378.
Capital-goods, meaning of term, 67,
329; classification of, 72.
Capital instruments, 66-67, 72, 329;
regulation of income by combining,
 127-129, 245-246.
Capitalization, definition of, 64, 330;
rate of, 194; employment of
rate of, as alternative to rate
of interest, 199; table showing
equivalent rates of interest,
discount, and, 200; of income
by means of rate of interest,202 ;
dimensions of rates of discount,
interest, and, 367-368.
Capitalize, use of term, 64, 330.
Capital property, 67, 72, 330.

est, 202; of perpetual annuity,
205-208, 369; of terminable
annuity, 209-210, 374-378 ; risk
element in determining, 210;
of a bond, 211-217, 382; of
any income stream, 217-221,
387-388; of alternative income
streams, 221-222; of group of
articles, 223; is the discounted
value of expected income, 223—
224, 304-305; less than total
expected income, 227-228 ; effect
of change of interest rate on,
229, 271-273, 390-393 ; enumeration
 of causes affecting, 284
285; as mean between past cost
and future income, 305-309;
formula for, of sum due in one
year, and of sum due at any time,
368.
Capital-wealth. See Capital goods.
Carver, cited, 117 n.2
Cash, income and outgo accounts of,
131-132, 135-136 ; account book
of lawyer, 136-137; as an income
 meter, 137-138.
Caution, coefficient of : 276-277, 330;
applied to insurance, 292 ; mathematical
 presentation of, 403.
Census (U. S., 1905), cited concerning
 railway valuation, 36 n.
Certificates, of property, 23; necessity
 of separating from wealth,
property, services, and utility,
38; stock, 68-70; receiver’s,
86.
Chance, element of, in property
rights, 22, 330; involving risk
of insolvency, 81; nature of,
265-269; always an estimate,
266; an affair of ignorance,
268 ; measurement of, 269-271;
mathematical value of a, 275;
in valuing stock, 280-283 ; effect
of, on discount curve, 286-287 ;
effect of, on bookkeeping, 287-288;
 effect of, on capital curves,
320-322.
Chen, Chin tao, cited on utility, 47.
Clark, J. B., cited on utility, 47;
concept of capital of, 55, 56,
60; term ‘capital-goods” suggested
 by, 67; use of economic
terms by, 67; ‘Niagara Falls”

 

Capital-value, 67, 72, 327, 330; determination
 of, from rate of inter- 



simile of, applied to income, 129 ;
distinction between work and

 

   
  
    
  
  
  
     
   
   
    
   
    
   
   
   
  
  
 
   
  
  
  
   
  
  
   
   
  
  
     
    
  
  
   
  
  
  
  
    
  
   
  
  
  
   
  
  
  

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