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[Econ] Average cost problem

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Average cost problem

A firm doubled its output by doubling the quantity of factors of production. Though the price of its output remain unchanged, its profit increased by less than double.Why the average cost increased? (From ans)
Let 數係decrease
, fixed cost+variable cost x Q/Q ,計到decarease.= =
   

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DSE standardA firm doubled its output by doubling the quantity of factors of production.
咩都double得即係無fixed factor 啦


Though the price of its output remain unchanged, its profit increased by less than double.
即係diseconomies of scale


即係咩?
Increase in Average cost lo


你就考DSE就唔教你D Out C嘢點計啦
總之你條式就有問題
1) 條式唔會係linear先
2) 無fixed cost

[ 本帖最後由 williamEX 於 2016-1-18 03:54 PM 編輯 ]

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Average cost=total cost/Q
咁如果冇fixed cost,
Old average cost=Total cost/Q
New average cost=Total cost*2/Q*2?
因為Q同factor of production都x2,
咁average cost=remain unchanged,
Why increase?..



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求指教



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引用:
原帖由 surelose123456 於 2016-1-18 07:19 PM 發表
Average cost=total cost/Q
咁如果冇fixed cost,
Old average cost=Total cost/Q
New average cost=Total cost*2/Q*2?
因為Q同factor of production都x2,
咁average cost=remain unchanged,
Why increase?..
...
New average cost=Total cost*2/Q*2?
咪就係呢個位錯lo
無人話你知個cost function 一定要linear 的


簡單的睇呢個

仲想睇深D的睇呢個

再深就唔建議你睇啦

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Dse會問reason?out c?
淨係答economie of scale/diseconomie of scale?

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引用:
原帖由 surelose123456 於 2016-1-19 01:48 AM 發表
Dse會問reason?out c?
淨係答economie of scale/diseconomie of scale?
economies of scale/diseconomies of scale
DSE 連returns to scale 都無教

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Ok
Thank you



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thank you

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Since all quantity of factor of production can be doubled,
the production is in long run.
Given that the firm's profit has not been doubled even holding the price of its output constant,
the average cost of production must be increased as a result of diseconomies of scale.
The firm is producing at an output level above the efficient level,
and thus faces an increased average cost.

(Based on my F4 knowledge, 求指正and真心求教if answer in this way works)

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