Which of the following is a long-run adjustment?
A) A restaurant hires a new chef.
B) A company relocate to a new headquarter in another city.
C) A bank hires a new CEO.
D) A company hires ten new management trainees.

Question

Quizplus · Accepted Answer

Long-run adjustment refers to the changes made to the production process or input mix, such as changes in the location of the business. Moving to a new headquarter in another city is a long-term adjustment as it affects the production process, while hiring a new chef, CEO, or management trainees may be considered a short-term adjustment.

Which of the Following Is a Long-Run Adjustment