Isoquant: Defining Combinations of Factors for Output
An Isoquant in economics is a curve that graphically represents all possible combinations of two input factors (such as labor and capital) that yield the same level of output. The question specifically asks for the term describing this relationship.
Understanding the Terminology
- Isoquant: This term directly matches the definition provided in the question. It shows different input bundles that produce an identical quantity of output. For example, a firm could produce 100 units using many workers and little machinery, or fewer workers and more machinery; an isoquant maps these combinations.
- Duopoly: This refers to a market structure dominated by only two sellers, not a production possibility curve.
- Long run: This is a time period in production theory where all factors of production are variable, not a specific type of curve.
- Elasticity: This measures the responsiveness of one economic variable (like quantity demanded) to a change in another (like price), unrelated to production factor combinations.
Therefore, the correct term for a curve showing all combinations of two factors that produce a given output is an Isoquant.
Similar Questions
- A Giffen good is related to which of the following?
- The sum of total fixed cost and total variable cost is known as:
- The law of comparative advantage is popularly attributed to ________.
- According to the law of diminishing marginal utility, as the amount of a good consumed increases, the marginal utility of that good tends to ______.
- Which among the following organisations is the best example of an agreement between oligopolists?
- Complete the sentence using the options given below.
The short-run marginal cost curve is 'U'-shaped due to ______. - The Total Revenue Curve of a firm shows the relationship between the _______ made by the firm and the output level of the firm.
- Which multiplier theory states that the economy will flourish the more the government spends?
- The demand curve is elastic when _____ and it is inelastic when _____.
- Tools, machines, building, etc. that are required for production are called:
Important Questions from Microeconomics
Surge pricing takes place when a service provider
What effect will a decrease in demand and an increase in supply have on equilibrium price?
A situation where the expenditure of the government exceeds its revenue is called ______.
Which of the following statements is NOT correct about the factors that gave rise to the Consumer Movement in India?
The total value of goods and services traded is considered to be the _________ of trade.
