General principles of marginal and average total cost curves, Macroeconomics

Assignment Help:

What are the general principles about marginal and average total cost curves?

General principles which are always true concerning a firm’s marginal and average total cost curves as follows:

a. Average total cost is equal to marginal cost at the minimum-cost output.

b. Marginal cost is less than average total cost and average total cost are falling at output less than the minimum-cost output.

c. And marginal cost is greater than average total cost and average total cost is increasing at output greater than the minimum-cost output.


Related Discussions:- General principles of marginal and average total cost curves

plot the aggregate demand, The economy of Mainland has the following aggre...

The economy of Mainland has the following aggregate and aggregate supply schedules:                               Real GDP Demanded                         Real GDP Supplie

Two-way anova., A scientist has been studying the organisms colonising the ...

A scientist has been studying the organisms colonising the pilings underneath a wharf in Sydney Harbour. He postulates two factors might make these communities of sponges, worms, a

Maximization, Prepare an essay regarding the concept of maximization and th...

Prepare an essay regarding the concept of maximization and the assumptions associated with the behavior of the economic man.

Point of service option, An HMO has a point of service option for its membe...

An HMO has a point of service option for its members, but will pay only 80 percent of approved charges. If a member goes out of network for a medical procedure with a charge of $20

Lorenz curve, what do we mean when we say export are exogenous and import a...

what do we mean when we say export are exogenous and import are endogeneos?

As the result of a tariff who will benefit, In general, who will benefit as...

In general, who will benefit as the result of a tariff? Domestic Producers Domestic Consumers The domestic government a. I only b. II only c. both I and III d.

Calculate the desired capital stock, Suppose that the desired capital stock...

Suppose that the desired capital stock is given as: K* = 0.3Y/i r Where Y = GDP, and i r is the real interest rate.  Suppose further that Y = $5 trillion and that i r

Determine optimum output and price levels, Given the demand and cost data y...

Given the demand and cost data you will have available (see information below), briefly describe the process you would use to determine optimum output and price levels in the devel

Economies as a scope, If there are economies of scope and if the price for ...

If there are economies of scope and if the price for each product equals marginal cost, is it possible for a firm to cover all its costs? If the firm's average cost of production d

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd