The article argues that using the term "capital" for both government and private investments can lead to confusion. In countries where the government is a major investor but ineffective, the difference between investment and actual capital can be huge. This means that not all government spending on investments actually creates valuable capital. This distinction is crucial for understanding the impact of public spending, total factor productivity, and economic growth in developing countries. The current methods used to estimate capital stocks may not accurately reflect the true value created by government investments.