-The average total cost curves for Plant 1, ATC₀, and Plant 2, ATC₁, are shown in the figure above. The long-run average cost curve goes through points

Name: -The average total cost curves for Plant 1, ATC 0 , and Plant 2, ATC 1 , are shown in the figure above. The long-run average cost curve goes through points A) C, D, G. B) A, C, E. C) A, B, D, G. D) A, B, D, E, F.
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Question

-The average total cost curves for Plant 1, ATC<sub>0</sub>, and Plant 2, ATC<sub>1</sub>, are shown in the figure above. The long-run average cost curve goes through points A) C, D, G. B) A, C, E. C) A, B, D, G. D) A, B, D, E, F.

Quizplus · Accepted Answer

The long-run average cost curve is the lower envelope of all short-run average total cost curves, passing through the minimum points of each plant's average total cost curve.

-The Average Total Cost Curves for Plant 1, ATC0, and Plant

-The Average Total Cost Curves for Plant 1, ATC₀, and Plant