The shape of the long-run average cost curve and long-run marginal cost curve. Option 1: Only LRAC is U shaped. Option 2: LRAC is U shaped and LRMC upward sloping. Option 3: Rectangular hyperbole. Option 4: U shaped.

The answer is 'U shaped.'. View full solution:

CUET Economics - The shape of the long-run average cost curve and long-run marginal cost curve. | PYQs + Solutions

CUET Economics 2025 30 May Shift 2

Micro

Medium

Only LRAC is U shaped.

LRAC is U shaped and LRMC upward sloping.

Rectangular hyperbole.

U shaped.

✅ Correct Option: 4

Related questions:

22 May Shift 2

Match List-I with List-II

List-I	List-II
(A) Normal profit	(I) Minimum level of profit need by firm to be in business.
(B) Shut down point	(II) Minimum level of LRAC curve
(C) Break-even point	(III) Profit Over and above normal profit
(D) Super-normal profit	(IV) The point on which firm earn only normal profit.

Choose the correct answer from the options given below:

28 May Shift 1

A firm increased the capital by a unit, which led to a rise in total product from 10 units to 24 units. Further increase in capital in the same quantity leads to an increase in total product to 40 units. What is the difference in change in marginal product?

29 May Shift 2

The set of all possible combinations of the two inputs that yield the same maximum possible level of output is known as...........

CUET Economics 2025 30 May Shift 2 PYQs

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