what does long run marginal cost mean
The change in the long-run total cost of producing a good or service resulting from a change in the quantity of output produced. Like all marginals, long-run marginal cost is an increment of the corresponding total. It is the change in long-run total cost divided by, or resulting from, a change in quantity.ot the Short Run. 1  The Short Run: In the short run, marginal cost decreases due to increasing marginal returns and increases due to decreasing marginal returns and the law of diminishing marginal returns. 2  This also triggers changes in average cost (variable and total).