The short run is a period too brief for a firm to alter its (p. _),...

 

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The short run is a period too brief for a firm to alter its (p. _), but it can still change the degree to which the fixed plant is used. The long run is a period in which the firm can change (some, all) resources including the (s ) and number of plants. It is often stated that the (short run, long run) is a "fixed-plant" period and the (short run. long run) is a "variable plant" period. Once fixed costs are incurred, a short-run period has been determined by the length of time that those costs are fixed, i.e., cannot be varied. The firm has no immediate control over these (fixed, variable) costs in the short run. Other costs that vary with the level of output then are (fixed, variable) costs. Later we will learn that they are important in determining the profit-maximizing or loss-minimizing level of output given the plant size and other fixed costs. 7. (1 pt.) Complete the following short-run cost table using the information provided. Total Product TFC $ AFC TVC AVC $ Cost per unit $12 10 12 14 8. (2.5 pts) Answer the questions below on the basis of the diagram. 3 4 $10 12 MC ATC (b) What does the graph indicate about: $ (1) AVC at 6000 units of output? $ (4.00) (2) ATC at 6000 units of output? $( (3) AFC at 6000 units of output? $( (4) TVC at 6000 units of output? $( (5) TFC at all levels of output? $( (6) TC at 10,000 units of output? $( (7) When diminishing returns set in? ( TC 12345678910 Quantity (in 1,000 (a) How can you tell if these cost curves are for the short run or the long run? The ATC, AVC, and MC curves are for one size of plant. These cost curves are in the (short run, long run) because there are fixed costs and variable costs (even if the AFC is not explicitly shown in the diagram, we can see the gaps between ATC and AVC, i.e., AFC ATC-AVC). In the short run, there are fixed costs and variable costs. In the long run, all costs are variable. ) because i ) because MC $---- ) units. Where MC curve starts to increase? The short run is a period too brief for a firm to alter its (p. _), but it can still change the degree to which the fixed plant is used. The long run is a period in which the firm can change (some, all) resources including the (s ) and number of plants. It is often stated that the (short run, long run) is a "fixed-plant" period and the (short run. long run) is a "variable plant" period. Once fixed costs are incurred, a short-run period has been determined by the length of time that those costs are fixed, i.e., cannot be varied. The firm has no immediate control over these (fixed, variable) costs in the short run. Other costs that vary with the level of output then are (fixed, variable) costs. Later we will learn that they are important in determining the profit-maximizing or loss-minimizing level of output given the plant size and other fixed costs. 7. (1 pt.) Complete the following short-run cost table using the information provided. Total Product TFC $ AFC TVC AVC $ Cost per unit $12 10 12 14 8. (2.5 pts) Answer the questions below on the basis of the diagram. 3 4 $10 12 MC ATC (b) What does the graph indicate about: $ (1) AVC at 6000 units of output? $ (4.00) (2) ATC at 6000 units of output? $( (3) AFC at 6000 units of output? $( (4) TVC at 6000 units of output? $( (5) TFC at all levels of output? $( (6) TC at 10,000 units of output? $( (7) When diminishing returns set in? ( TC 12345678910 Quantity (in 1,000 (a) How can you tell if these cost curves are for the short run or the long run? The ATC, AVC, and MC curves are for one size of plant. These cost curves are in the (short run, long run) because there are fixed costs and variable costs (even if the AFC is not explicitly shown in the diagram, we can see the gaps between ATC and AVC, i.e., AFC ATC-AVC). In the short run, there are fixed costs and variable costs. In the long run, all costs are variable. ) because i ) because MC $---- ) units. Where MC curve starts to increase?

Answer rating: 100% (QA)

6 1 pt The short run is a period too brief for a firm to alter its plant size but it can still chang... View the full answer