The minimum point on the average variable cost curve is called the loss-minimising point.

Name: The minimum point on the average variable cost curve is called the loss-minimising point.
Brand: Quizplus
Rating: 4.9 (35 reviews)

Question

Quizplus · Accepted Answer

The minimum point on the average variable cost curve is called the efficient scale of production, not the loss-minimizing point. The loss-minimizing point refers to the level of output where a firm minimizes its losses, which can occur at different points depending on market price and average total costs.

The Minimum Point on the Average Variable Cost Curve Is