Financial capital: Difference between revisions
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'''Financial capital''' is a form of [[capital (economics)|capital]]. It is things that have [[value]], but don't do anything by themselves. They are only valuable because people value (want) them. For example [[money]] is a form of financial capital. You cannot do anything with money but it still has value.
Financial capital is used to pay for things, this is because it is never used up and people always want it. This means that
Some forms of financial capital, such as [[stock]]s, [[gold]] or [[bond]]s are not wanted by everybody. However they can be traded with people for Money or sometimes other types of financial capital. Because of this these forms of financial capital do not have a stable price. This means that some people try to make a [[profit]] by buying and selling these types of financial capital in a [[market]].
Some things are treated as financial capital, even though they do have a use. For example some people buy and sell [[land]] but are not interested in doing anything with it. Some people think this sort of trade is bad because the land should be used and not just treated like moneyl. Other types of capital, such as [[Social capital]] and [[human capital]] are
In [[politics]] a common question is how much the government should use financial capital. In particular should the government trade in financial capital to make a profit. Traditionally [[liberal]] [[politicians]] do not mind such traiding but [[socialist]] or [[conservative]] politicians are against it. See also [[National debt]]
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