PRC-3 · Chapter 12 · Question 2 of 69
An entrepreneur is planning a 5-year expansion strategy where she intends to lease vast new lands, build three new automated plants, and hire thousands of workers. In economics, a period where all factors of production become variable is the:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Long run
Explanation
The long run is the conceptual time period where a firm has enough time to alter all of its inputs and factors of production; there are no fixed factors.
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