With such capital-intensive technology, per capita productivity is high and so are individual incomes.
The company, based in Seattle, has been criticized for building such capital-intensive structures, but Jeff Wilke, the general manager for operations, said that Amazon's size required massive internal controls on inventory and orders.
Factories that once made chips would have to be revamped to make solar panels, and venture capital firms are unlikely to be able to provide enough money to build such capital-intensive companies, Mr. Hancock said.
Revenue from mining has enabled the federal government to establish such capital-intensive industries as the Ajaokuta and Aladja steel mills, pulp and paper mills at Oku Iboku and Iwopin, petrochemical plants at Kaduna, Abuja, and Port Harcourt, and an aluminum smelter at Ikot Abasi.
Economists call such industries "capital intensive" which is another way of saying "doesn't create many jobs".
Boosting corporate income tax rates and squeezing loopholes would hurt other companies, such as capital intensive industries.
"We're the 9th largest infrastructure provider worldwide and it's such a capital intensive industry," DigitalOcean co-founder and CEO Ben Uretsky told me in a phone interview.
They do not reflect the potential of the businesses that are capital intensive such as steel plants and power plants and which are now coming into production".
However, options such as irrigation are capital intensive despite being the ideal strategy against rainfall uncertainties.
Access to capital may also provide competitive advantage in industries in which service provision itself has not become very capital intensive, such as the advertising industry (see von Nordenflycht 2009 for an explanation of the emergence of large advertising conglomerates).
