Why does raising prices stimulate short-run production but have no effect on long-run production?

Higher prices are attractive to suppliers and will stimulate a rise in production and supply levels in the short run. This is because firms are looking to maximize the opportunity in the market. At this point, there is a smaller number of firms in the market. The incentive of higher prices will eventually lead to an increase in the number of firms in the market. The competition will then lead to a decrease in market prices, and supply will exceed demand. This means that in the long run, the supply-demand curve will return to normal. In the short run, firms will leverage marginal production costs, where the production of more units reduces the total production costs since cost per unit will reduce. However, as more units are produced in the long run, other production costs, such as labor and transport costs, begin to increase too, and the enterprise starts to struggle to remain profitable.