Quote:
Originally Posted by anamardoll
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As for the rest, I still maintain that "fixed costs" are not as fixed as the article seems to be claiming.
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Typically, fixed costs aren't really fixed, they are "lumpy" variable costs. Think about it this way:
Over a small change in title volume, the number of editors stays the same; the cost looks fixed. But, if you experience a large change in title volume, then you need to increase or decrease your number of editors, so the cost changes.
Also, a handy rule of thumb is that in the long term, all fixed costs are variable and all variable costs are fixed.