The short run refers to a period:
A) of several days.
B) during which prices are sticky and unemployment may occur.
C) during which capital and labour are fully employed.
D) during which there are no fluctuations.

Question

Quizplus · Accepted Answer

The short run refers to a period during which prices are sticky and unemployment may occur. This is because in the short run, firms may not be able to adjust their prices quickly in response to changes in demand or supply, leading to a situation where some resources, including labor, may be underutilized.

The Short Run Refers to a Period