The minimum possible short-run average costs are equal to long-run average costs when the long-run curve is a minimum point.
In the short run, costs ultimately depend upon the firm's level of output, the fees of factors, and the portions of things wished for every degree of output. The leader distinction between long- and brief-run prices is there aren't any constant factors ultimately.
The cost of producing any output inside the short run is extra than the long-run cost as the firm is confined in the short run and no longer in the long run. The graph indicates the quick-run general price curve and long-run general fee curve.
Short-run average cost equals average constant prices plus common variable fees. Common constant fee continuously falls as manufacturing will increase in the quick run, because ok is constant in the brief run.
Learn more about average costs here: https://brainly.com/question/25799822
#SPJ1
