NETCAP

AcronymDefinition
NETCAPNational Exploitation of Tactical Capabilities (DoD)
NETCAPNetwork Capabilities
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This is an alternative way of writing equation (4) where [Pi] is a measure of inflation, PSBR is the PSBR (corresponding to [Delta]D in equation (4)) and NETCAP is net capital spending at current replacement cost (corresponding to q[Delta]K in equation (4)).
L-R q = PREFST + VCOMS + LTDEBT + STDEBT - ADJ/TOTASST - BKCAP + NETCAP (1)
where PREFST is defined as the liquidating value of a firm's preferred stock, VCOMS is the price of the firm's common stock multiplied by the number of shares outstanding at the close of the year (December 31), LTDEBT is the value of the firm's long-term debt adjusted for its age structure, STDEBT is the book value of the firm's current liabilities, ADJ is the value of the firm's net short-term assets, TOTASST is the book value of the firm's total assets, BKCAP is the book value of the firm's net capital stock, and NETCAP is the firm's inflation-adjusted net capital stock.