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

Lm curve with inflation, The LM curve with inflation  We know that LM ...

The LM curve with inflation  We know that LM curve will shift upwards when P increases (presuming MS is constant). This is still true though we can also add that LM curve glid

Healthcare cost, define the economic principle of opportunity cost explain ...

define the economic principle of opportunity cost explain whether spending 17.9% of gdp is too much or too little to spend on healthcare

Consumption, (40 points) Consider two consumers, A and B. A and B both want...

(40 points) Consider two consumers, A and B. A and B both want perfect consumption smoothing (c = cf) and both have no current wealth. However, the two consumers have different inc

How much money can banks create, Q. How much money can banks create? Do...

Q. How much money can banks create? Does that mean that banks can create an unlimited amount of money? No the answer is no - it would require them to lend an unlimited amount o

Outline each approach as positives and negatives, In a group environment, s...

In a group environment, should leaders be assigned at the beginning of a project or should leaders emerge as the group is working on the project? Outline the positives and negative

Price of dvd players decreases, If the price of DVD players decreases, we c...

If the price of DVD players decreases, we can expect that the demand for DVDs will: a. increase. b. be unaffected. c. shift left. d. Decrease

determine the total far-field, Four Hertzian dipoles (oriented in the z-di...

Four Hertzian dipoles (oriented in the z-dir.) are placed on an x-y plane with spacing (d=λ o /2) between them as shown in figure. a) Derive the array factor for this setup b

What are the important aspects in tracking the macro-economy, What are the ...

What are the important aspects in tracking the macro-economy? Important aspects in tracking the macro-economy: a. How economists utilizes aggregate measures to track the pre

Monetrary policy, draw a diagram that explains how interest rate sare deter...

draw a diagram that explains how interest rate sare determined in the keynesian macroeconomic model

Financial and real investment, Financial and Real Investment Financial ...

Financial and Real Investment Financial investment simply means transfer of right from one party to another. While one party has made investment, the other has made disinvestme

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