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United StatesMicroeconomicsQuick questions

Unit 3: Production, Cost, and the Perfect Competition Model

Quick questions on Long-Run Production Costs - AP Microeconomics Topic 3.3

2short Q&A pairs drawn directly from our worked dot-point answer. For full context and worked exam questions, read the parent dot-point page.

What is q1?
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State why there are no fixed costs in the long run. [1 point]
What is q2?
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A firm's LRATC rises as it expands output. State which scale condition this is and give one cause. [2 points]

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