But his return on asset has gone down to 20. and, because he's at that utilization, his return on asset has gone down to 20 .

So it's 50 utilization and then, my return on asset is my operating income divided by my initial investment, right?

Filesystem Utilization Viewer

So the orange line is utilization. Up here we had like 90 utilization.

Low utilization, prices will decrease.

So up here this is 90 utilization and then down here this is 70 utilization.

Capacity utilization is driven by demand.

This orange line represents capacity utilization.

He's only running at 25 utilization.

So the 1 million asset would really become an 800,000 asset.

It's the same asset.

So that's the asset.

So it's an asset.

That's an asset, right?

Both models improve.

And capacity utilization had really preceded that.

That's its asset it has.

So it's an illiquid asset.

This is a real asset.

Why is cash an asset?

I'm fully utilized, right? I have 100 utilization.

That's how we improve.

High utilization will allow you to raise prices and when you raise price you'll get a better return on your asset, and then the other side effect is, when you have that high return on asset, you'll also have more investment going on to build more capacity.

There are abilities that improve rapidly and those that improve slowly, aren't there?

And on the other side of the coin, when you have a low utilization of your asset, even though it might not be completely well, it is rational if you're a competitor.

My answer is, just watch the capacity utilization numbers.

Capacity utilization drives inflation. We can all buy that.

Let's say it has a slight impact on utilization.

Low utilization, you have kind of the opposite situation.

The entire asset was his equity.

It's derived from the original asset.

That improves my return on asset.

So I would revalue the asset.

So cash could be an asset.

So that's what an asset is.

He would be a great asset.

Try to improve your English.

I want to improve myself.

Improve accessibility for disabled persons

So, can we improve that?

Did that pain improve, etc.?

So when you have an asset, if the asset is cash, the rent on it is interest.

And actually, we can use these insights to improve society and improve human well being.

So high utilization of capacity, it leads to prices increasing.

So we're all tapped out, we're at 100 capacity utilization.