Explain Why the Long-Run Total Cost Curve,not the Short-Run Total

question 2

Essay

Explain why the long-run total cost curve,not the short-run total cost curve,shows the lowest cost of producing any level of output.Is there an exception?

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Definitions:

Sales

The activities involved in selling goods or services to customers, including the negotiation of price and delivery terms.

Profits

The financial gain obtained when the revenue from business activities exceeds the expenses, costs, and taxes involved in maintaining the activity.

Forbes 500

An annual listing published by Forbes magazine ranking the top 500 publicly traded companies in the United States based on their revenue.

Regression

A statistical method used to model the relationship between a dependent variable and one or more independent variables.