Which of the following is a long-run adjustment ?

a.

A new economics professor is hired on campus.

b.

General Motors increases its orders for steel.

c.

Glow Electric disassembles one of its nuclear power plants.

d.

Arthur Anderson cuts back on hiring of new graduates.

2.

As ABC company adds the first four workers to its production process in the short

run, its output rises from 0 to 12 to 25 to 35 to 43.

Addition of the fifth worker will

most likely lead to an output rate

a.

greater than 51.

b.

equal to 51.

c.

less than 51.

d.

greater than 51 if the firm experiences diseconomies of scale.