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Law of Variable Proportion or Returns to Factor is a vital part of studying the Theory of Production. This is a crucial topic for students pursuing Economics. Students look for professional assignment assistance because this is a difficult topic.

We at BookMyEssay have hired competent Economics experts who can provide you with a well-written Single Variable-Law of Variable Proportion Assignment Help in Australia. You can be assured that you will receive an error-free solution. We provide unmatched assignments that can help you secure top grades. Our solutions are highly reliable.

Single Variable-Law of Variable Proportion

The Law of Variable Proportion plays a vital role in economic theory. It is also called the Law of Proportionality. By keeping other factors fixed, this law explains the function of production with a factor variable. When the output of a commodity in the short run can be enhanced, the law of variable proportion comes into place.

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As during this law, we know the consequences on output variation in proportions, it is also called the law of variable proportion. Therefore, it is a new name for the “Law of Diminishing Returns”. This Law plays an important role in economics and also occupies a vital place in modern economic theory. The law is supported by empirical evidence regarding the actual world.

Assumptions of the Law of Variable Proportion

Law of Variable Proportion holds the following assumptions that are discussed in our Single Variable-Law of Variable Proportion Assignment Help

  1. Primarily, technology is assumed to be unchanged and is stated too. When there is an improvement in technology, then average and marginal products might increase rather than diminish.
  2. There should be inputs and their quantity should be kept fixed. It is a way we can change the factor proportions and also know its impact on output. The law does not apply if all factors are varied proportionately.
  3. This law is depended on the chances to vary the proportions where the different factors can be integrated for producing a product. This law does not apply to cases wherein the factors should be used in a fixed proportion for giving a product.

If the different factors are needed to be used in a rigidly fixed proportion, then the enhancement in a single factor will not increase output. The marginal product of a product shall be zero and will not diminish too. This may be noticed that products needing fixed factor proportions are not uncommon. Therefore, the law of variable production applies to many cases of production.

What are the Applications of the Law of Variable Proportion?

The Law of variable Proportion is universal because it applies to each field of production. The law applies to a production field where some factors are variable and some are fixed. This is the reason it is known as the Law of Universal application. Not just mines, land, house building, fisheries are not the only instances of fixed factors but raw materials, machines might become fixed during a short period. The applications are summarized in our Single Variable-Law of Variable Proportion Homework Help online.

  • Agriculture: To increase agricultural production, capital and labour might be enhanced to any limit, however, not the land. When more variable units like capital and labour are applied then the marginal products begin to diminish.
  • Industries: The law applies to industries for a long duration.

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