Capital accumulation

Capital accumulation is when people save money or put it into investments that are meant to help make more money in the future. It's like baking a really big cake: you start out with all of the ingredients, like eggs, flour, and sugar, and mix them together in a bowl. Then you bake the cake in the oven. At the end, you have a bigger, better cake than when you started! The same thing happens with capital accumulation: you start out with a certain amount of money, which you put into investments like stocks or real estate. Over time, those investments can start to make more money than you initially put in, and that's what we call capital accumulation.