The short run and the long run are defined in terms of a specific time period (e.g., five years).

Name: The short run and the long run are defined in terms of a specific time period (e.g., five years).
Brand: Quizplus
Rating: 4.8 (48 reviews)

Question

Quizplus · Accepted Answer

The short run and the long run in economics are not defined by specific time periods but by the flexibility of firms to change all input factors. In the short run, at least one input is fixed, while in the long run, all inputs can be varied.

The Short Run and the Long Run Are Defined in Terms