The Economy Is in Long-Run Equilibrium When

question 1

Multiple Choice

The economy is in long-run equilibrium when

• A)an optimal mix is reached.
• B)input prices have fully adjusted to changes in output prices.
• C)few input and output prices have adjusted.
• D)change is the leading characteristic of the production factors.

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Definitions:

In-Store Products

Items available for purchase within a physical retail location.

Total Sales

The total income received from selling goods or services before any deductions are made.

Gasoline

A volatile, flammable liquid derived from petroleum, used primarily as fuel in internal combustion engines.

Foul Shots

In basketball, free throws awarded to a player following a foul by the opposing team.