3 ms·
Okay so the earlier poster was correct that capital is consumption all the way down if you twist the semantics to say that owning land is itself consumption (an
by quadrangle 8y ago
Okay so the earlier poster was correct that capital is consumption all the way down if you twist the semantics to say that owning land is itself consumption (and that's reasonable enough, I'd accept it for sake of discussion).
- AstralStorm 8y agoWhich is completely wrong as land may or may not degrade due to utilization. For most cases where it is not arable, it does not degrade therefore there is no consumption. It is called a durable good. Land is about the most durable of all. Consumable is another name for a non durable good. Use of consumer durable goods is not the same as consumption - it is typically considered depreciation.
- quadrangle 8y agoThanks for the excellent clarification, well put.