Question: If new, better picking and transportation tools become available for a higher rent, and if Johns decides to lease them, how will this affect John's

If new, better picking and transportation tools become available for a higher rent, and if Johns decides to lease them, how will this affect John's ATC, AVC, and MC curves? Consider that in addition to costing more to lease , the new tools will make picking and transportation easier and faster for each worker. Explain what the net effect of these two factors on John's cost curves could be.

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When John decides to lease new better picking and transportation tools at a higher cost several factors will influence his Average Total Cost ATC Aver... View full answer

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