If the total cost function is 10Q3 - 5Q2 + 1000 Q = 500 at approximately what output does ATC reach its minimum?
65.Why does the AVC reach its minimum before the ATC reaches its minimum?
66.Sketch a long run average total cost curve and a short run average total cost curve of a plant that is too small to produce at the minimum long run cost. Put the two curves on the same graph and include the marginal cost curves for both average cost functions.
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