Note 340 — Chapter XV

The Capitalization theory is briefly outlined by Böhm-Bawerk, in the critical and historical volume of his Kapital und Kapitalzins (English title of the volume, Capital and Interest), in his criticisms of the theories of Henry George and Turgot. It has subsequently been elaborated, and much improved, by Fetter, in his Principles of Economics, and, more recently, has been restated, with mathematical formulæ, by Fisher, in his Rate of Interest. A good brief statement will be found in Seligman, Principles of Economics, ch. on "The Capitalization of Value." Extensive use has been made of it by Veblen. More recently, it has been elaborated in the controversy over the theory of interest participated in by Seager, Fisher, Brown and Fetter, in the American Economic Review, 1912-13-14, and the Quarterly Journal of Economics, 1913.