Asked by Shubrenia Scott on May 06, 2024
Verified
On separate axes, draw typical production isoquants for each of the following production functions.
a.f(x, y) min2x, x y.
b.f(x, y) xy.
c.f(x, y) x minx, y.
d.(x, y) x y1/2.
Production Isoquants
Curves that represent different combinations of inputs that produce the same level of output, illustrating the trade-offs in production processes.
Production Functions
Mathematical relations stipulating how output levels are achieved with different combinations of input factors such as labor and capital.
Input
Refers to the resources used in the production of goods and services, such as labor, raw materials, and capital.
- Illustrate and elucidate the form of isoquants for various production functions, emphasizing the adaptability in substituting inputs.
Verified Answer
FH
flower happinessMay 07, 2024
Final Answer :
a.The isoquants have a kink at the line x y.At a typical point on this line, say x y 3, the isoquant has a vertical segment going all the way to the sky and another segment running from (3, 3)to (6, 0).
b.These are rectangular hyperbolas.
c.If x is on the horizontal axis and y is on the vertical axis, an isoquant has a kink on the line x y.To the left of this line, an isoquant has the slope 1; to the right of this line, an isoquant has slope 1.Above this line the isoquant is vertical.
d.The isoquants are convex to the origin.If you draw a horizontal line through two or more isoquants, they will all have the same slope where they meet this line.
b.These are rectangular hyperbolas.
c.If x is on the horizontal axis and y is on the vertical axis, an isoquant has a kink on the line x y.To the left of this line, an isoquant has the slope 1; to the right of this line, an isoquant has slope 1.Above this line the isoquant is vertical.
d.The isoquants are convex to the origin.If you draw a horizontal line through two or more isoquants, they will all have the same slope where they meet this line.
Learning Objectives
- Illustrate and elucidate the form of isoquants for various production functions, emphasizing the adaptability in substituting inputs.