The Long Run Is a Planning Period

question 308

Multiple Choice

The long run is a planning period:

• A) over which a firm can consider all inputs as variable.
• B) of at least 5 years.
• C) of more than 6 months.
• D) of 6 months to 5 years.

---

Definitions:

Allocation of Resources

The process of distributing scarce resources among different uses and users.

Resource Use

The manner in which natural resources are exploited and utilized to meet human needs or economic applications.

Economic Profit

The difference between the total revenue generated by a business and the total costs, both explicit and implicit, including opportunity costs.

Monopoly

A market structure characterized by a single seller who has exclusive control over a particular good or service, leading to limited consumer choice.