As quantity produced moves past the minimum of average total cost,... As quantity produced moves past the minimum of average total cost, what is occurring with the curve's components? As output grows larger, diminishing marginal returns to production reduce the productivity of your workers. As output grows larger, eventually fixed costs are spread less and less amongst new units produced. As output grows larger, fixed costs are spread more and more amongst new units produced and are the dominating effect. As output grows larger, average variable costs are continuously decreasing due to economies of scale. As output grows larger, rising input costs drive your average variable costs to rise higher and higher