what is physical capital
Physical capital is a type of asset that is used in the production or manufacturing process that allows a business to create goods and services for sale to consumers.In its broadest application, this type of capital relates to any type of non-human assets that are used within that production process.he working definition for physical capital is typically focused on assets that are themselves manufactured. Within the scope of this approach, machinery used to create goods of all types would qualify as this type of capital.