capital formation

Cultural  

1. The creation of capital. For example, capital is created when banks lend the money they hold in savings accounts to firms that use the money to purchase machinery.

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Example Sentences

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capital formation

He can choose not to compound an energy shock with monetary restraint that damages capital formation and productivity growth exactly when the economy needs both.

From MarketWatch ● May 22, 2026

The better response is to keep capital formation alive and allow high prices to do what they are supposed to do: mobilize new supply, logistics improvements and investment.

From MarketWatch ● May 22, 2026

U.S. public equity markets—the backbone of our economy—have long been the global gold standard for capital formation and wealth creation.

From The Wall Street Journal ● Apr. 27, 2026

Private-markets firms are laying out some serious cash to expand their capital formation teams focused on secondaries as the strategy gains traction among institutional and wealth investors.

From The Wall Street Journal ● Feb. 17, 2026

And we will propose reducing corporate rates, while maintaining incentives for capital formation.

From State of the Union Address by Ronald Reagan