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hi everybody short-run costs well remember what the short-run is for a business it is a period of time when there is at least one fixed factor of production we dont define it in terms of six months or one year we dont define it in terms of actual time we define it in terms of the variability of our factors of production so when there is at least one fixed factor production and business is in the short-run usually there are two fixed factors of production in the short-run land and capital whereas in the long-run all factors of production are variable thats a crucial start but also costs are quite unique in economics there are two different groups of costs we have our explicit costs costs that require actual payment and we have our implicit costs implicit costs for a business is just their opportunity cost and thats always the profit they could have made doing their next best alternative that is a cost it doesnt require physical payment therefore its implicit but it is a cost and
