0
short run is a period which is not enough to change or alter the quantities of all of the factors of production. therefore, some factors of production are fixed in this period because you do not have enough time to change the quantities of them. so, in this period i.e., short run, some factors are fixed and others are variables. however, in long run, you have all the factors of production as variables as you have enough time to change them or replace them.
for ex:- if you have two factors of production, labor and machinery. it might be difficult for you to replace machinery in short run. however, difficulty might not arise in the case of labor. so in short run you would say that labor is variable and machinery is fixed. but in long run, both of your factors are variable because you have enough time to alter their quantities.
usually, in economics, we call a period of 1 year or less as short run. and a period of more than 1 year as long run. but this might not be suitable i every case. this time may vary from situation to situation.
What else can I help you with?
Distinguish between the concept of the short run and long run period theory of the firm?
Explain which of the following would be considered the long-run and short-run and why.
What is the relationship between long-run average cost curve and short-run average cost curve?
what is the relationship between long run average cost curve and short run average cost curve?
Explain the differences between short-run and Long-run as they are used in economics?
What is the inflationary gap?
its the difference between long run and short run aggregate supply
What are the key differences between short run and long run costs in economics?
In economics, the key difference between short run and long run costs is that in the short run, some costs are fixed and cannot be changed, while in the long run, all costs are variable and can be adjusted. This means that in the short run, a business may have to deal with fixed costs like rent or equipment, while in the long run, they have more flexibility to adjust their costs to maximize profits.
Distinguish between the concept of the short run and long run period theory of the firm?
Explain which of the following would be considered the long-run and short-run and why.
What is the relationship between long-run average cost curve and short-run average cost curve?
what is the relationship between long run average cost curve and short run average cost curve?
Explain the differences between short-run and Long-run as they are used in economics?
What is the main difference between long and short run?
Their length.
What is the inflationary gap?
its the difference between long run and short run aggregate supply
What are the key differences between short run and long run costs in economics?
In economics, the key difference between short run and long run costs is that in the short run, some costs are fixed and cannot be changed, while in the long run, all costs are variable and can be adjusted. This means that in the short run, a business may have to deal with fixed costs like rent or equipment, while in the long run, they have more flexibility to adjust their costs to maximize profits.
How is a long-run average cost curve different from a short-run average cost curve?
The long-run average cost curve is longer.
What are the key differences between the long run supply curve and the short run supply curve in economics?
The key difference between the long run supply curve and the short run supply curve in economics is that the long run supply curve is more elastic and flexible, as firms can adjust their production levels and resources in the long run. In contrast, the short run supply curve is less elastic and more rigid, as firms have limited ability to change their production capacity in the short term.
What kind of relationship you postulate between short-run and long run average cost curves when these are not U shaped?
The type of relationship that you postulate between short-run and long-run average cost curves that is not U shaped is the external limiting relationship.
What are the key differences between long run and short run equilibrium in economics?
In economics, the key difference between long run and short run equilibrium is the time frame in which adjustments can be made. In the short run, some factors are fixed and cannot be changed, leading to temporary imbalances in supply and demand. In the long run, all factors are variable, allowing for adjustments to reach a stable equilibrium.
What are the key differences between perfect competition in the short run and long run?
In perfect competition, the key differences between the short run and long run are mainly related to the ability of firms to adjust their production levels and make profits. In the short run, firms cannot easily enter or exit the market, leading to potential economic profits or losses. In the long run, firms can enter or exit the market, driving profits to zero as competition increases. This results in a more efficient allocation of resources in the long run compared to the short run.
What kind of relationship would you postulate between short-run and long-run average cost curves when these are not you-shaped as suggested by the modern theories?
what kind of relationship would you postulate between short run and long run average cost curves when these are not u shaped as suggested by the modern theories.
