Pääomakulutus

Pääomakulutus, often translated as capital consumption or depreciation, refers to the decrease in the value of capital assets over time due to wear and tear, obsolescence, or unforeseen damage. In economic terms, it represents the portion of a company's or economy's capital stock that is used up during the production process. This consumption is a natural part of the economic cycle and is distinct from the consumption of non-durable goods.

Businesses account for pääomakulutus through depreciation charges, which are recorded as expenses on their income statements. These charges allow companies to gradually write down the value of their assets over their useful lives, reflecting their diminishing economic utility. This accounting practice helps to ensure that the cost of using an asset is matched against the revenue it helps to generate.

On a macroeconomic level, pääomakulutus is subtracted from gross domestic product (GDP) to arrive at net domestic product (NDP). While GDP measures the total value of goods and services produced, NDP provides a more accurate picture of an economy's sustainable output by accounting for the replacement of capital that has been consumed. Understanding and measuring pääomakulutus is crucial for assessing the true level of economic activity and for making informed decisions about investment and policy.