The long run is a period of time
A) when some input prices do not change.
B) when all prices have adjusted to equilibrium.
C) when the inflation rate is zero.
D) longer than 1 year.
E) longer than 10 years.

Question

Quizplus · Accepted Answer

In the long run, all prices have had time to adjust to reach equilibrium, which means there are no longer any temporary shortages or surpluses. While input prices may not change during this period, that is not the defining characteristic of the long run. The length of the long run is not precisely defined, but it is generally considered to be longer than one year.

The Long Run Is a Period of Time