Question

In short run in increasing marginal return take place due to ​

Answer 1

Increasing marginal returns occurs when the addition of a variable input (like labor) to a fixed input (like capital) enables the variable input to be more productive. ... In the short run, the productive capital, the Flex-Star factory and related equipment, is fixed.

Answer 2

Answer:

In short run, marginal returns will see an increase if the variable factor of production i.e. labor or skilling is increased, while keeping the fixed costs i.e. capital constant.

Explanation:

When labor number or specialization is increased, the productivity rises. The firm is able to manufacture, sell and earn more. At this stage, the cost curve will also fall.