Remember that in the short run there is at least one factor of production or input that can't be changed. By factor of production we mean anything used to produce goods or services. Those factors which can be changed in the short run are called variable inputs and those which can't be changed are called fixed inputs.

   A simple example may help. Imagine any task or project you and a group of friends might undergake. Some examples might include: preparing a several course meal for a large number of guests, helping someone move, doing a science project, rebuilding a car engine, painting a house, or putting together a party to thrash (or trash if you prefer) your parents house while they're away.

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