Which of These Is NOT Typical of the Long Run

question 115

Multiple Choice

Which of these is NOT typical of the long run?

• A) Firms may enter or leave the industry.
• B) A firm may add facilities.
• C) Output will vary only with changes in the labor force.
• D) The size of an industry may change.

---

Definitions:

American Taxpayers

Citizens and entities in the United States responsible for paying taxes to federal, state, and local governments, contributing to public services and infrastructure.

S & L Debacle

Refers to the financial crisis involving Savings and Loan associations in the United States during the 1980s, leading to significant regulatory changes and economic impacts.

Transaction Motive

The need to hold money for the purpose of conducting everyday transactions.

Precautionary Cash

Funds held by individuals or firms to deal with unexpected events or emergencies, providing a buffer against financial issues.