Principles of Microeconomics / Unit 6 MIC 0508 short lesson, about 20 seconds
Fixed and Variable Inputs; Short Run and Long Run
Captions available
The idea
A fixed input, such as a leased building, cannot be changed quickly; a variable input, such as staff, can. The short run has a fixed input; the long run has none.
In practice
For the bakery the oven is fixed this year; workers are variable.
Where people slip
The short run is not a number of months; it ends when the fixed input can be changed.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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