Question

The owner of a clothing factory wants to make more winter coats. According to the law of increasing costs, what will happen next?

Answer 1

In economics, the law of increasing costs is a principle that states that once all factors of production (land, labor, capital) are at maximum output and efficiency, producing more will cost more than average.

in other words, if the guy puts more effort into his work (making more coats) the he will achieve a higher output, or more money