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Why Does the Vertical Distance Between the ATC Curve and the AVC

question 53

Essay

Why does the vertical distance between the ATC curve and the AVC curve decrease as output increases?


Definitions:

Segment

A group of people or organizations sharing one or more characteristics that cause them to have similar product needs.

Market

A place or mechanism where buyers and sellers interact to trade goods, services, or information.

Geography

The study of the Earth's physical features, environment, and human-environment interactions.

Sales Potential

The maximum total sales of a product or service that could be achieved within a specific market over a given time period.

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