Isoquant
Definition
All combinations of inputs that produce the same level of output. Slope = marginal rate of technical substitution.
Example
A firm can produce 100 widgets with many (worker, machine) combinations — all on one isoquant.
All combinations of inputs that produce the same level of output. Slope = marginal rate of technical substitution.
A firm can produce 100 widgets with many (worker, machine) combinations — all on one isoquant.