In the Short Run

question 13

Multiple Choice

In the short run,

• A) at least one factor of production is fixed.
• B) all factors of production are fixed.
• C) all factors of production are variable.
• D) there are no variable costs.

---

Definitions:

Production Decisions

The process of determining what goods or services to produce, how much, and by what method.

Sovereign Government

A type of government that operates independently without interference from foreign powers, possessing ultimate authority over a geographical area.

Profitability

The degree to which a business or activity yields profit or financial gain.