00:01
Okay, so we're going to be looking here at a statement that is provided to do with the long -run average cost curve.
00:09
So we're going to be looking at the long -run average cost curve.
00:12
So we want to find the missing words from the statement so we can be able to fill in.
00:20
The long -run average total cost curve is dash and is found by using the dash.
00:27
So there's four options that are provided there.
00:30
Before we look at them, we might just want to try to find out how we would derive the long -run average cost curve.
00:40
So one can relate with if we have costs and we have here the quantities.
00:53
So in the long run, we will notice that the average, the long run average cost curve actually would be derived from establishing the minimum points of the short run average cost curve so would you say sac short run average cost costs just so we don't crowd out our work so if you call this sac 1 you have sac 2 sac3, we have sac4 and then sac5.
01:48
Okay, so basically we can actually figure that the minimum points of the consecutive short -run average cost curve is actually what we then use to derive the long -run average cost curve...