Asked by Allie Andrews on Jul 11, 2024
Verified
The ATC curve is __________ and the AVC curve is _________.
A) U-shaped;U-shaped
B) not U-shaped;not U-shaped
C) U-shaped;not U-shaped
D) not U-shaped;U-shaped
ATC Curve
A graphical representation of the average total costs of production at different levels of output in economics.
AVC Curve
The average variable cost curve, which shows a firm's average variable costs of production at different levels of output.
- Understand the shapes of average total cost (ATC) and average variable cost (AVC) curves and their significance.
Verified Answer
JB
Jacob BlainJul 11, 2024
Final Answer :
A
Explanation :
Both the ATC (Average Total Cost) and AVC (Average Variable Cost) curves are typically U-shaped due to economies and diseconomies of scale.
Learning Objectives
- Understand the shapes of average total cost (ATC) and average variable cost (AVC) curves and their significance.