The XYZ Gizmo Company uses labor (L) and capital (K), both of which are variable in the long-run, to produce gizmos. The following diagram shows two representative production isoquants for XYZ (where q1 and q2 refer to output levels) and two corresponding isocost lines (in red): Which of the following statements correctly characterizes a move along a single isoquant, from point A to point B? The marginal product of labor (MPL) increases. The marginal rate of technical substitution (L for K) decreases. XYZ's output level increases. YX's output level decreases. XYZ's total cost decreases. consider a move from point A to point C. Which of the following statements correctly characterizes that move?

The marginal rate of technical substitution (L for K) increases. The marginal rate of technical substitution (L for K) decreases. The ratio of marginal products (MPL/MPK) decreases. XYZ's total cost increases. XYZ's output decreases.