Question

Which statement is descriptive of the long run rather than the short run?

The firm must pay an electric bill that varies each month as well as a mortgage payment of $10,000 per month.
The firm is trying to increase its amount of output by adding an extra shift so that its equipment is in use more hours of the day.
A firm is deciding how much of its equipment to sell so that it can reduce its monthly loan payments for equipment.
A firm is deciding how many workers to use in its production line.

Answer 1

A firm is deciding how much of its equipment to sell so that it can reduce its monthly loan payments for equipment.