If producers experience an increase in the amount of wages paid, they should also expect an increase in average fixed costs.

Name: If producers experience an increase in the amount of wages paid, they should also expect an increase in average fixed costs.
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Quizplus · Accepted Answer

Average fixed costs decrease as output increases because fixed costs are spread over a larger number of units, and changes in wages affect variable costs, not fixed costs.

If Producers Experience an Increase in the Amount of Wages