Examlex
Increasing the number of zones in a permit trading program will
Marginal Cost
An incremental expense associated with manufacturing one extra item of a product.
Average Fixed Cost
The total fixed costs divided by the number of units produced, representing how fixed costs dilute with increased production.
Marginal Cost
Marginal cost is the increase or decrease in the total cost that arises when the quantity produced is incremented by one unit.
Average Variable Cost
The cost of production that varies with the output level, calculated by dividing the total variable costs by the number of units produced.
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