Law of Variable Proportions in Short Run

The law of variable proportions, also known as the law of diminishing returns, is a basic principle in economics that describes how input/output relationships change when one factor of production is changed while others remain constant. This principle is associated with the short run, where at least one factor of production is fixed, while others are variable.

Explanation:

- Short Run: In the short run, one factor of production is fixed, while the others can be varied. For example, in agriculture, land is usually fixed in the short run, while other inputs such as labor, fertilizer, and seeds can be varied.
- Law of Variable Proportions: This law states that as more and more units of a variable factor are added to a fixed factor, the total output initially increases at an increasing rate, then at a decreasing rate, and finally starts to decrease. This happens because as more units of the variable input are added, the marginal productivity of that input eventually decreases.
- Marginal Productivity: Marginal productivity is the additional output that is produced when one more unit of input is added. In the short run, the marginal productivity of the variable input eventually starts to decrease because the fixed input becomes a constraint on production.
- Fixed Factor: In the short run, the fixed factor becomes a constraint on production, and this is what leads to diminishing marginal returns. For example, if a farmer has a fixed amount of land, adding more fertilizer to the land will eventually lead to diminishing returns because the land can only support a certain amount of crops.

Conclusion:

In conclusion, the law of variable proportions is associated with the short run, where at least one factor of production is fixed, while others are variable. This law describes how the marginal productivity of a variable input eventually decreases as more units of that input are added, due to the constraint of the fixed input.

When is something variable? When you CSN easily alter or change it. The change is only possible during the initiate stagesi.e Short span from the starting hence the correct alternative is (A)