Microeconomics: The distinction between the short run and the long run for a firm is that:

Question

A. in the short run all inputs are fixed whereas in the long run no inputs are fixed

B. in the short run all inputs are variable whereas in the long run all inputs are fixed

C. in the short run at least one input is fixed whereas in the long run no inputs are fixed

D. in the short run at least one input is fixed whereas in the long run all inputs are fixed

Answer 1

In the long run no inputs are fixed whereas in the short run at least one input is fixed. In the long run, all inputs can be adjusted and therefore should not be considered fixed. In the short run, many inputs are hard to change and are considered fixed.