Long run total costs are always:
A)a function of inflation.
B)greater than or equal to short run total costs.
C)equal to short run total costs.
D)less than or equal to short run total costs.

Question

Quizplus · Accepted Answer

In the long run, all factors of production are variable, allowing firms to adjust all inputs and adopt the most efficient production technology. This flexibility can lead to economies of scale and lower total costs compared to the short run, where some factors are fixed.

Long Run Total Costs Are Always