working capital

(redirected from Circulating capital)
Also found in: Dictionary, Thesaurus, Legal, Financial, Encyclopedia, Wikipedia.
Related to Circulating capital: working capital, Fixed capital, Floating capital

working capital,

n a firm's investment in short-term assets or cash, short-term securities, accounts receivable, and inventories. Gross working capital is defined as current assets minus current liabilities. If the term
working capital is used without further qualification, it generally refers to gross working capital.

working capital

see working capital.
References in periodicals archive ?
In short, whereas conversion of circulating capital into machinery lowers domestic labor demand, capital exported abroad annihilates the demand altogether (Ricardo [1821] 1951, 397).
Replacing Ricardo's concept of circulating capital as demand for labor with the alternative notion of demand for goods as demand for labor, McCulloch argued as follows (see O'Brien 1975, 227-8): If product demand is unitary elastic such that price falls induce proportionate rises in quantity demanded, then labor re-absorption is complete.
Labor's marginal productivity, not the stock of circulating capital, constitutes labor demand.