1. BY:
ATHMIKA RAO
FATHIMA SABIRA
ALTHAF HUSSAIN

2.  Isoquant derived from Italian word
iso= equal quant= product
 Geometric representation of production
funtion
 Isoquant indicates various combinations of
two factors of production which give the same
level of output per unit of time.

3.  Fixed inputs – constant in nature
ex: land, building, asset etc
 Variable inputs – vary with the environment
ex: raw material, capital and labour
 iso-quant represents 2 variable inputs
capital(k) and labour (L)

4. Isoquant Indifference
curve
Producer goods Consumer goods
Output Satisfaction
Combination of inputs Combination of commodities

5. Isoquant ISOQUANT

6.  the rate at which a firm must
substitute one input for another in order
to keep production at a given level
 the rate at which capital can be
exchanged for 1 more (or less) unit of
labor
 MPK = the marginal product of K
 MPL = the marginal product of L
 Q = MPK K + MPL L
 Q = 0 along a given isosquant
 MPK K + MPL L = 0
MRTS= K/ L

11. Linear
isoquant

12. L
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