-_______ term forecasts are more valuable if a firm's demand changes very frequently and changes in the firm's output level have a ________ effect on its marginal cost.

Question

Quizplus · Accepted Answer

Short-term forecasts are more valuable if a firm's demand changes very frequently because they can provide more up-to-date information about the market. Changes in the firm's output level have a small effect on its marginal cost if the firm is operating in a competitive market.

-_______ Term Forecasts Are More Valuable If a Firm's Demand