Question

what is LAC and SAC explain with diagram in economics​

Answer 1

Answer:

The LAC curve is given the minimum point of the SAC curves because these show the minimum cost of producing any level of output The IAC curve is the envelope of the SAC curves. ... The LAC curve exhibits increasing returns to scale initially, but a higher output level shows decreasing returns.

Answer 2

Answer:

ADVERTISEMENTS: With constant returns to scale, the LAC equals the minimum points of the SAC curves. ... The LAC curve is given the minimum point of the SAC curves because these show the minimum cost of producing any level of output The IAC curve is the envelope of the SAC curves.