Economics question: marginal cost curve?

[cc123]

When is the marginal cost curve below the average total cost curve? when is it above the average total cost curve?

[guy]

the previous poster is right and this is because when ATC is lowering, it is because the increase in quantity produced by a firm allows said firm to distribute its fixed cost over more and more goods -an effect that offsets the rise in variable costs at that time. At the same time, marginal costs -the costs of producing one more quantity of good -increases steadily. As time goes on and production cont., the marginal costs rise and ATC starts to level out meeting the marginal costs and then, ATC starts to rise as variable costs begin to offset the highly distributed fixed costs. And of course, marginal costs continue to grow.

[guy]

the previous poster is right and this is because when ATC is lowering, it is because the increase in quantity produced by a firm allows said firm to distribute its fixed cost over more and more goods -an effect that offsets the rise in variable costs at that time. At the same time, marginal costs -the costs of producing one more quantity of good -increases steadily. As time goes on and production cont., the marginal costs rise and ATC starts to level out meeting the marginal costs and then, ATC starts to rise as variable costs begin to offset the highly distributed fixed costs. And of course, marginal costs continue to grow.