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as the sum of growth and cash flow, and specifically negative unrealized output. Then deadweight loss = unrecovered decapitalization = negative output = negative unrealized output = max (0, - output) = max (0, - unrealized output). (6.10) Also positive unrealized output = max (0, proprietary output), (6.11) and output = unrealized output + realized output. (6.12) The Growth Truism In general, growth = capitalization from outside + capitalization from inside - decapitalization. (6.13) Here capitalization from outside = negative cash flow =transferin, and capitalization from inside = positive unrealized output + plowback. Also decapitalization = recovered decapitalization + unrecovered decapitalization = recovered decapitalization + deadweight loss. Then growth = transfer in + positive unrealized output + plowback — recovered decapitalization - deadweight loss, (6.14) or more simply Chapter 6: Parallels with the Firm 2/4/16 7 HOUSE_OVERSIGHT_011041