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Explain about the optimal consumption rule.
The optimal consumption rule:
While a consumer maximizes utility, the marginal utility per dollar spent should be similar for all goods and services into the consumption bundle.
MUC/PC = MUP/PP
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determination of optimal solution mathematical presentation
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Average Total Cost (ATC): ATC is the total cost per unit of output. ATC = TC/y = (TFC + TVC)/y = AFC +AVC ATC falls sharply at the beginning of the production process because
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why the PPC curve slopes downward?
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