In the short run,
A)at least one of the firm's inputs is fixed
B)customer tastes and preferences are fixed
C)the firm may vary all inputs
D)sunk costs are variable
E)government intervention is inevitable

Question

Quizplus · Accepted Answer

In the short run, a firm's production is constrained by at least one fixed input, meaning it cannot be varied easily or quickly. For example, if a bakery wants to increase its output, it might not be able to do so immediately if it does not have enough ovens or bakers. Therefore, option A is the best choice.

In the Short Run