Quote:
Originally Posted by nogle
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.
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That's my understanding. In which case all this boo-hooing about the fixed costs cutting into production would seem to indicate that maybe the variable fixed costs
could be brought down a bit as opposed to MUST RAISE EBOOK PRICES OR DIE. *cue wild running emoticon*