Question: When a product is produced with a fixed factor and a variable factor, the marginal product of the variable resource will eventually diminish as the

When a product is produced with a fixed factor and a variable factor, the marginal product of the variable resource will eventually diminish as the output of the firm expands. This diminishing return to the variable factor explains why

marginal costs eventually increase.

marginal costs eventually decrease.

average fixed costs eventually diminish.

average fixed costs eventually increase.

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