# Thread: Long Run Short Run Behavior

1. ## Long Run Short Run Behavior

Hello,
I do not understand how to get the long run and short run for the following problem. The main problem is how I know what it looks like, 1/x or 1/x^2 or -

the problem:

x^2/x-1

thanks

2. Originally Posted by cokeclassic
Hello,
I do not understand how to get the long run and short run for the following problem. The main problem is how I know what it looks like, 1/x or 1/x^2 or -

the problem:

x^2/x-1

thanks
When $\displaystyle |x|$ is small $\displaystyle x-1$ behaves like $\displaystyle -1$, and so $\displaystyle x^2/(x-1)$ behaves like $\displaystyle -x^2$.

When $\displaystyle |x|$ is large $\displaystyle x-1$ behaves like $\displaystyle x$, so $\displaystyle x^2/(x-1)$ behaves like $\displaystyle x$.

CB

3. Originally Posted by cokeclassic
Hello,
I do not understand how to get the long run and short run for the following problem. The main problem is how I know what it looks like, 1/x or 1/x^2 or -

the problem:

x^2/x-1

thanks
Do the division. $\displaystyle x^2$ divided by x- 1 is $\displaystyle x+ \frac{1}{x-1}$. For very large x, that acts like x.