If two inputs can be substituted for each other at different rates while maintaining the same output level, then:
A) the inputs are perfect substitutes.
B) the inputs are imperfect substitutes.
C) the inputs are not substitutable.
D) the amount of each input is the same along an isoquant.
E) none of the above.

Question

Quizplus · Accepted Answer

If two inputs can be substituted for each other at different rates while maintaining the same output level, then the inputs are said to be imperfect substitutes. This means that while the two inputs can be used interchangeably, they are not equally efficient in producing the same output.

If Two Inputs Can Be Substituted for Each Other at Different