The correct answer is option 1, which states that only the first statement is correct, while the other two options are incorrect.

Let`s analyze each option to understand why this is the case:

1. The first statement, "Temperature increases with increasing altitude," is correct. In the standard atmosphere, the temperature usually decreases with increasing altitude, around 6.5 degrees Celsius per kilometer on average. However, in the case of temperature inversion, the normal temperature decrease is reversed, and the temperature increases with increasing altitude.

2. The second statement, "A long winter night with clear skies is an ideal situation," is incorrect. Temperature inversion is more likely to occur during clear nights with light winds, which allows the cooling of the surface to be maximized. Therefore, a long winter night with clear skies is more prone to temperature inversion.

3. The third statement, "It is a short-term phenomenon and is common all over the globe except at the poles," is also incorrect. Temperature inversion can be both short-term or long-term, depending on the atmospheric conditions. It can occur globally, including at the poles, although it may be more prevalent in certain regions or seasons.

In conclusion, only the first statement is correct, making option 1 the correct answer.