The document discusses capital output ratio (COR) and incremental capital output ratio (ICOR). COR is a measurement of the amount of capital required to produce a given level of output over a period of time. Countries with abundant natural resources tend to have a lower COR since they can substitute capital with resources. ICOR assesses the marginal investment needed to generate the next unit of production, with a higher ICOR indicating less production efficiency. While COR and ICOR provide useful information, they have limitations since capital and output cannot be precisely measured and are influenced by other variable factors. As such, specific ratios should be interpreted cautiously when estimating capital requirements.