Input prices are ________ in the short run and ________ in the long run.
A) sticky; sticky
B) flexible; flexible
C) increasing; increasing
D) flexible; sticky
E) sticky; flexible

Question

Quizplus · Accepted Answer

In the short run, input prices are often sticky due to contracts and slow adjustments, but in the long run, they become flexible as firms and markets adjust to changes.

Input Prices Are ________ in the Short Run and ________

Input Prices Are in the Short Run and