The short run is that period in which firms:
A) are free to vary all inputs.
B) are able to vary some, but not all, inputs.
C) can vary inputs, but only by varying all inputs in equal proportion.
D) cannot increase production at all.

Question

Quizplus · Accepted Answer

In the short run, firms are able to vary some but not all inputs. This is because some inputs, such as labor, can be easily adjusted in the short run while other inputs, such as capital, require more time and expense to adjust. However, there are still some constraints on input adjustments in the short run.

The Short Run Is That Period in Which Firms