Accumulation Fund, part of the national income used for the expansion of production, the construction of buildings for social, cultural and everyday use, as well as for forming social and insurance reserves. In the Soviet Union, the fund embraces a quarter of the national income (over three quarters of the national income goes to the consumption fund). Part of the surplus product is the accumulation fund’s main source. As for its material content, the accumulation fund consists of the means of production (over and above those which form part of the replacement fund), as well as the objects of consumption, required for the workers additionally drawn into production. In socialist society, the accumulation fund is formed in a planned way on a scale of all social production as a single national accumulation fund. The accumulation fund is, first of all, expended on production accumulation: the construction of new plants, factories, mines, railways,, electric power stations, agricultural enterprises, fitting out operating enterprises with new equipment, machines, plant, etc., the introduction of new technology, the improvement of working conditions, and the development of the personality in the process of material production. Production accumulation ensures the reproduction of material wealth and social ownership of the means of production on an expanded scale. In the context of scientific and technical progress production accumulation makes it possible to raise the technological level of production and to accelerate the* pace of its development. The accumulation fund is also used for non-production accumulation, i. e., building housing, public health units, cultural, everyday services, scientific and administrative units. Besides, non- production accumulation includes the increase of the fund of vital means intended for the workers additionally drawn into production and expenses of training and refresher courses. Non-production accumulation goes into expanding the service sphere, satisfying the requirements of the members of society and ensuring their comprehensive development. The material reserves and insurance funds formed through the accumulation fund are necessary for ensuring steady social production and its proper balance, and for preventing and eliminating partial disproportions. The material reserves and insurance funds are made up from the state reserves of plant, raw materials, fuel and foods, as well as from the reserve funds of the collective farms. Capital investment is the main way the accumulation fund is used (see Capital Investment under 8 Socialism). The fund is tne necessary material condition for forming and improving the proportions of the economy, and its planned management in the interests of the fuller satisfaction of the material and cultural requirements of the members of socialist society. The advantages of the socialist economic system make possible the optimal correlation of the accumulation and consumption funds, and combine a high pace of reproduction with the steady growth of the people’s well-being.