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Average Total Cost
The total cost of production divided by the number of units produced, representing the average cost per unit of goods or services produced.
Allocative Efficiency
A state of resource allocation where it is not possible to make any one individual better off without making at least one individual worse off.
Average Variable Cost
The total variable cost divided by the quantity of output produced; it represents the variable cost per unit of output.
Marginal Cost
Marginal cost is the cost of producing one additional unit of a good or service.
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