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Can you help me reword this? An isoquant shows all combination of factors that produce a certain output An isocost show all combinations of factors
Can you help me reword this? An isoquant shows all combination of factors that produce a certain output An isocost show all combinations of factors that cost the same amount. Isocosts and isoquants can show the optimal combination of factors of production to produce the maximum output at minimum cost. Like the indifference curves, Isoquant curves are downward sloping to the right. These Isoquant curves give all the combinations of factors of production, which provide the same output or quantity. Isocost curves (which are really linear functions), provide all the combinations of factors of production that give the same cost, similar to previously seen Budget Constraints
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