Usage and Grammar

Q. I have learnt that it is wrong to make adjectives out of verbs. Please advise if “increased” is used correctly in the following sentence: Increased competition from international players interested in India is a key downside risk. I refer to Oxford Advanced Learner’s Dictionary.

A. That usage is fine. And isn’t Advanced an adjective made out of a verb? It’s good to be suspicious of rules that prohibit common usage.