What is capital? Austrian economics has a precise and distinctive definition — unlike business schools and most business publications, books, and columnists. Among those entities, the term capital tends to be used very imprecisely. You might see sentences like, “Entrepreneurs must ensure they have sufficient capital to get their new product to market”, or “to get to break-even”. Such usages imply that capital is a cash reserve to be “burned off” in the process of launching and scaling a business. Show notes: https://mises.org/library/professor-matthew-mccaffrey-austrian-definition-capital-and-its-application-health-your Professor McCaffrey made reference to Frank Fetter’s role in defining capital in his online discussion, "Frank Fetter and the Austrian Tradition in the United States": Mises.org/E4E_87_McCaffrey Professor Peter Klein explains why metaphors like "Human Capital" are unhelpful to entrepreneurs in his article, "A Note on 'Human Capital'": Mises.org/E4E_87_Klein