The Long Run Refers to a Time Period

question 209

Multiple Choice

The long run refers to a time period

• A)during which a firm is able to purchase all of its inputs, including its plant and equipment.
• B)long enough for a firm to vary all of its inputs, to adopt new technology, and change the size of its physical plant.
• C)long enough for a firm to pay all of its creditors in full.
• D)long enough for a firm to change the use of its variable inputs.

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Definitions:

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Policies or measures taken by a government to shield its domestic industries from foreign competition, often involving tariffs or quotas.

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A period during which economic activity decreases or is expected to decrease.

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The study and management of financial transactions and investments that cross national borders, including foreign exchange markets and international banking.