ABSTRACT
In its first form, capital is simply the bridge between present income and future income: this is then capital-time. The second form of capital is still time but now it is fixed in the capital: this is called fixed capital. Like consumption, the formation of capital results from the destruction of an income; consumed income is destroyed definitively; capitalized income is saved: it is destroyed today in order to be transported through time. The formation of capital is the transformation of a current income into a future income. Monetary savings are subjected to the tautology of the equality of the purchase and the sale of financial claims: borrower’s negative capital annuls the lender’s positive capital. The capital of the domestic economy proceeds therefore from a unique operation, the nature of which is to generate two savings, monetary and real, at the same time.
