this post was submitted on 19 Dec 2023
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That's fixed capital for you.
I don't get it
It would be fixed capital regardless of the interior design and chairs?
The difference is that fixed capital matters little to the rate of profit, so they can spend a lot of money and it still evens out over the period of operation. The food and wage, on the other hand, affects the rate of profit a lot. So we can usually see restaurants with "fancy" decors, but with shitty food and low wages.