736 
PONTIFICIAE ACADEMIAE SCIENTIARVM SCRIPTA VARIA - 28 
Depreciation in the Production Process and Financial Amor- 
tization 
The quantity A=R, represents the depreciation in the pro- 
duction process. In a similar way it is possible to define a 
financial amortization. In the present theory any primary 
outlay is incorporated in capital. Thus we can consider the 
consumed national income as the sum of financial amortization 
Ar and of capital interest 1C and write 
(116-18) 
R.=Ar+iC 
Then from (110-1) and (110-2) we have 
(116-10) 
R,.-/C=R__4C 
dt 
and then 
(116-20) 
A=R, dC 
wT 
and taking account of (116-12) 
116-21) 
A-A__ dC R 
d 4 -[R,-R,] 
(+ 
A 
(!) The value of R,—R,, is given below for a special case (relation 251-20). 
II] Allais - pag. 40