What Is Fixed Capital?

Fixed capital refers to production capital in the form of labor materials such as plant, machinery, equipment, and tools, and is the symmetry of circulating capital. Part of constant capital. Its material form all participates in the production process. Although it is abraded, it still maintains a fixed material form for a long time. Its value is not transferred all at once, but partly transferred to new products with wear and tear during the production process. After the sale of the goods, this part of the transferred value has been converted back into money in preparation for renewing its material form.

[gù dìng z bn]

fixed

This circulation of fixed capital and

As fixed capital

Comparison of fixed capital, current capital, constant capital and variable capital:

1. The division is different.

The former is divided according to different capital value turnover methods, while the latter is divided according to the different roles played by different parts of capital in the production of surplus value;

2. The content of division is different.

Constant capital includes capital used for labor data and labor objects, while fixed capital includes only capital used for labor data, as shown in the figure:

Divided according to the role of the means of production in the production of surplus value	Factors of Productive Capital	Divided according to the value turnover method of production capital
Constant capital	Labor information	Fixed capital
	Object of labor	Working capital
Variable capital	labor force

3. The purpose of division is different.

The division of fixed capital and circulating capital is to explain the different effects of different parts of production capital on the turnover rate of capital and thus the amount of surplus value; the division of constant capital and variable capital is to explain that variable capital is surplus value The true source of capital, thus revealing the facts of capitalist exploitation.