Question: 1. If short-run average variable costs and marginal costs decline at every feasible quantity of output, what (if anything) happens to the positions of the

1. If short-run average variable costs and marginal costs decline at every feasible quantity of output, what (if anything) happens to the positions of the AVC, AFC, ATC, and MC curves? Explain.
2. If long-run average costs decrease at each possible quantity, does the minimum efficient scale necessarily either increase or decrease? Explain your reasoning?

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