

Your idea that profit is simply the extraction of value from those doing the work ignores the role of risk. The factory owner provides the initial capital, buys the machines, secures supply chains, finds the right workers, organizes everything and takes the risk of bankruptcy. If the company fails, the workers lose their jobs, but the owner loses their investment. Therefore profit is the reward for taking on that financial risk and organizing the resources efficiently. Also, some of that profit will need to be reinvested into the factory or new factories.

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