The inputs that a manager uses to alter production are referred to as:
A) variable factors.
B) long-run factors.
C) fixed factors.
D) All of the statements are correct.

Question

Quizplus · Accepted Answer

Variable factors are inputs that can be changed in the short run to alter production, such as the amount of labor, raw materials, or energy used. Long-run factors refer to inputs that cannot be changed in the short run, such as the size of the factory or the level of technology used. Fixed factors are inputs that cannot be changed in the long run, such as land or capital equipment. Therefore, the best choice is A.

The Inputs That a Manager Uses to Alter Production Are