Asked by Jalon Williams on May 06, 2024
Verified
In the long run,every input available to a manufacturer is a fixed input.
Fixed Input
Resource in production that cannot be changed in the short term, such as buildings and machinery.
Long Run
A period in which all factors of production and costs are variable, allowing for full adjustment to any change in market conditions.
Manufacturer
An entity engaged in the conversion of raw materials or components into finished goods for sale.
- Distinguish between short run and long run in terms of input variability.
Verified Answer
CX
Chenxi XiongMay 12, 2024
Final Answer :
False
Explanation :
In the long run, all inputs – including labor, raw materials, and machinery – can be adjusted to some extent, making them all potentially variable inputs. Therefore, every input is not necessarily fixed.
Learning Objectives
- Distinguish between short run and long run in terms of input variability.
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