@mebune,
Marginal cost exceeds average cost as a mathematical consequence of the fact that marginal cost increases with each unit of production.
Marginal cost only takes into the cost of producing the last unit (the most expensive produced so far). Average cost takes into account the costs of producing all the units, including the ones you produced earlier for less money per unit, which bring down the average.
Do you really want to know
why marginal costs are increasing?
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