' How does the impact of fixed costs change production decisions in the short run and in the long run? Refer to the average total-cost (ATC) model included in the textbook to demonstrate. 1. In the short run, not much change is made with the fixed cost. The rent I pay, for the building that my company is located in, will not change based on how much I produce. In the long run, a fixed cost can increase which will then increase the total cost causing my profit will decrease. If I were to rent out another building to keep up with the demand of my product, the fixed cost of a company increases. The best thing I can do is to increase its price of my product in order to compensate for the mct inrrpncp