The long-run is:
A)a time period in which all input levels are fixed.
B)a time period in which at least one input level is fixed.
C)one year.
D)a time period in which no input levels are fixed.

Question

Quizplus · Accepted Answer

In the long-run, all input levels are variable and can be adjusted by the firm, meaning that no input levels are fixed. Therefore, choice D is the best answer. In the long-run, all inputs are variable and can be adjusted to meet changing demands, so no input levels are fixed.

The Long-Run Is