Answer the following questions true (T) or false (F)
1. The short run is the time period during which a firm has at least one input constraint.
2. A characteristic of the long run that is not available in the short run is that a firm is free to vary its output.
3. Consider a manufacturing operation that uses specialized machinery and labor to produce its output. In this case, the input that is not fixed in the short run is labor.
1. TRUE
2. FALSE
3. TRUE
You might also like to view...
The graph of two variables, x and y, is a horizontal line. This result indicates that x and y are
A) positively related. B) negatively related. C) not related. D) falsely related.
The monopoly can shift the demand for its product rightward by
A) accommodating entry. B) advertising new uses for its product. C) moving along the learning curve. D) All of the above.