An isoquant describes:
A) combinations of two goods that a country can produce if it fully and efficiently uses its resources.
B) combinations of goods that yield the same satisfaction to consumers.
C) combinations of inputs that produce a constant level of output.
D) combinations of value-chain activities needed to produce output.

Question

Quizplus · Accepted Answer

An isoquant is a curve that shows the different combinations of inputs that can be used to produce the same level of output. Therefore, it describes the combinations of inputs that produce a constant level of output.

An Isoquant Describes