with one another. Abstractly, money
or the control of money, sometimes called credit, is Capital.
Concretely, capital consists of all forms of marketable matter which
embody labour. Land or nature is excluded except for improvements:
human powers are excluded as not being matter; commodities in the
hands of consumers are excluded because they are no longer marketable.
Thus the actual concrete forms of capital are the raw materials of
production, including the finished stage of shop goods; and the plant
and implements used in the several processes of industry, including
the monetary implements of exchange. Concrete business capital is
composed of these and of nothing but these.[1] In taking modern
industrial phenomena as the subject of scientific inquiry it is better
to accept such terminology as is generally and consistently received
by business men, than either to invent new terms or to give a private
significance to some accepted term which shall be different from that
given by other scientific students, and, if we may judge from past
experience, probably inferior in logical exactitude to the current
meaning in the business world.

Sec. 3. The chief material factor in the evolution of Capitalism is
machinery. The growing quantity and complexity of machinery applied to
purposes of manufacture and conveyance, and to the extractive
industries, is the great special fact in the narrative of the
expansion of modern industry.

It is therefore to the development and influence of machinery upon
industry that we shall chiefly direct our attention, adopting the
following method of study. It is first essential to obtain a clear
understanding of the structure of industry or "the industrial
organism" as a whole, and of its constituent parts, before the new
industrial forces had begun to operate. We must then seek to ascertain
the laws of the development and application of the new forces to the
different departments of industry and the different parts of the
industrial world, examining in certain typical machine industries the
order and pace of the application of the new machinery and motor to
the several processes. Turning our attention again to the industrial
organism, we shall strive to ascertain the chief changes that have
been brought about in the size and structural character of industry,
in the relations of the several parts of the industrial world, of the
several trades which constitute industry, of the processes within
t