Architectural Capital: A Modern Framework for Addressing Consumer Dissatisfaction and Utility Stagnation

This paper investigates a paradox of the early twenty-first century: despite rapid technological acceleration, consumer utility, satisfaction, and long-term sustainability have not increased proportionally. Building on Romer’s theory of endogenous growth, the study introduces the concept of Architectural Capital (ArchCap) – a systemic property that captures the degree to which technological knowledge (ATech) is organised into a coherent, predictable, sustainable, and maintainable product architecture. ArchCap is operationalized through four analytical components: cognitive load, repairability and maintainability, total cost of ownership, and architectural coherence. Empirical evidence shows that products with moderate technological density but high architectural capital – such as the Ford Model T, Volkswagen Beetle, FIAT 124/Lada 2101–2107, and early-generation iPhones – achieve higher real utility, lower ownership costs, and greater long-term sustainability than many contemporary devices with far higher ATech. These findings reveal a phenomenon of architectural entropy, in which escalating complexity nullifies a significant share of the value generated by technological knowledge. The paper argues that architectural capital is the missing structural parameter in contemporary growth models and should be integrated into regulatory frameworks as a criterion for systemic sustainability, maintainability, and consumer safety. ArchCap is proposed as an analytical filter for evaluating innovations, public policies, and R&D strategies, ensuring that technological progress is translated into genuine economic and societal benefit.