Refer to the graph. A decrease in fixed costs is shown by
A)a move along short-run average total cost curve ATC₂ from point e to point f.
B)a move along short-run average total cost curve ATC₁ from point a to point b.
C)the shift of the short-run average total cost curve from ATC₁ to ATC₂.
D)the shift of the short-run average total cost curve from ATC₂ to ATC₁.

Question

Refer to the graph. A decrease in fixed costs is shown by
A)a move along short-run average total cost curve ATC₂ from point e to point f. 
B)a move along short-run average total cost curve ATC₁ from point a to point b. 
C)the shift of the short-run average total cost curve from ATC₁ to ATC₂. 
D)the shift of the short-run average total cost curve from ATC₂ to ATC₁.

Quizplus · Accepted Answer

The Answer of  Refer to the graph. A decrease in fixed costs is shown by
A)a move along short-run average total cost curve ATC₂ from point e to point f. 
B)a move along short-run average total cost curve ATC₁ from point a to point b. 
C)the shift of the short-run average total cost curve from ATC₁ to ATC₂. 
D)the shift of the short-run average total cost curve from ATC₂ to ATC₁.

Refer to the Graph