Let's Talk about USA and capitalism. Do You know what capitalism means? A country that has the most capital or money is called A capitalized country Same as the company that has great capital can be called a capitalized company. When a business starts Its normal to have a lack of capital but when It grows It can offer things cheaper than It could before.
A garment can make 30 dresses in a day with its own capital. Another garment can make 60 dresses with the same manpower and wages but they have extra Capital that helps them to buy more assets to make It easy and cost less to make a product.
See, the second one can make extra things. Because they have extra Capital. In the same day to day cost
On the other hand, The first one has to pay more money per product. because he is making the product same day to day cost-effectively.
example as :
1st Garment ----- 30 product make
cost wages 3000
cost per product - 100
2nd garment ----60 product
cost wages 3000
cost per product - 50
As the second one can make It with low cost Its a simple thing that they can also sell It at low cost. For this other business shuts off
And this Called Capitalism
Business Pay their day-to-day cost by profit, not by assets, That's why I take wages because It was a day-to-day cost.
