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Q: microeconomics ( No Answer,   7 Comments )
Question  
Subject: microeconomics
Category: Business and Money > Economics
Asked by: makbool-ga
List Price: $7.50
Posted: 02 Sep 2002 03:59 PDT
Expires: 02 Sep 2002 23:21 PDT
Question ID: 60862
1.  What is the relationship between the average product curve and the 
average total cost curve 
 
2.   Why might a firm continue to produce in the short run even though the 
market price is less than the average total cost
Answer  
There is no answer at this time.

Comments  
Subject: Re: microeconomics
From: omnivorous-ga on 02 Sep 2002 04:36 PDT
 
You may want to check the wording of the 1st question, as "average
product curve" doesn't make sense.  Could it be "average product price
curve" or "average product variable cost curve"?
Subject: Re: microeconomics
From: makbool-ga on 02 Sep 2002 18:59 PDT
 
yes it is average product price
Subject: Re: microeconomics
From: makbool-ga on 02 Sep 2002 18:59 PDT
 
sorry it is average product price curve
Subject: Re: microeconomics
From: jeffyen-ga on 02 Sep 2002 19:13 PDT
 
Hmm....so your question becomes 

1.  What is the relationship between the average product PRICE curve
and the
average total cost curve?

Is this correct? 

(I'm confused I've not come across an 'average product price curve'
but an 'average product curve' is common)
Subject: Re: microeconomics
From: makbool-ga on 02 Sep 2002 19:32 PDT
 
Hi

yes - it is correct - I am confused my-self when I found this question
in the Economics text books
Subject: Re: microeconomics
From: jeffyen-ga on 02 Sep 2002 19:42 PDT
 
This is indeed interesting, maybe they both mean the same thing, just
that the words are different? The 'average product curve' I'm familiar
with has a graph with 'amount produced' on the y axis, and 'labor
needed' on the x axis... well, maybe someone can shed some light...
Subject: Re: microeconomics
From: makbool-ga on 02 Sep 2002 21:13 PDT
 
I am in the process of finding out the relationship between the two
curves.  However can someone answer question 2.

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