in the short-run the firm cant modify or change


In the short-run the firm can't modify or change overhead factors like equipment, plant and scale of its organisation. In the short-run output can be decreased or increased by changing the variable inputs such as raw material, labour etc. So the short-run costs of production are segmented into variable and costs fixed. Oppositely in the long-run all factors can be adjusted. Therefore in the long run all costs are variable and none are fixed.

Request for Solution File

Ask an Expert for Answer!!
Managerial Economics: in the short-run the firm cant modify or change
Reference No:- TGS0330158

Expected delivery within 24 Hours