decrease at start due to startup costs and paying off initial investment in staff and equipment
increase over long term because we have to go deeper and deeper into the vein as we mine out the easy stuff near ground level.
The cost of producing x ounces of gold from a new gold mine is C=f(x) dollars.
Do you think the values of f'(x) will increase or decrease in the short term? What about the long term? Explain.
1 answer
1 answer