Properties, Assumptions, Isoquant Map, Difference between isoquant and indifference curve

4. 1. Iso-Product Curves Slope Downward
from Left to Right

6. 2. Isoquants are Convex to the Origin.
Thus it may be observed that due to falling MRTS,
the isoquant is always convex to the origin.

7. 3. Two Iso-Product Curves Never Cut Each
Other:
Therefore two curves which represent two levels
of output cannot intersect each other

8. 4. Higher Iso-Product Curves Represent Higher
Level of Output:

9. 5. Isoquants Need Not be Parallel to Each Other:

10. 6. No Isoquant can Touch Either Axis:

11. An Isoquant map can be defined as the set of
isoquant curves that show technically efficient
combinations of inputs that can produce
different levels of output.

12. Isoquant Curve Indifference Curve
Related with Production
theory.
Related with Demand theory.
Shows various combination of
two inputs on an equal output.
Shows the various combination
of two commodities
It shows constant level of output
which can be measured.
It shows the constant level of
satisfaction which can’t be
measured.

13. It represents combination of
two factors.
It represents combination of
two commodities.
It provides economic and
uneconomic information region
of production.
It provides no information
about economic and
uneconomic region of
consumption of goods.
The slope is influenced by the
technical possibility of
substitution between
production. {MRTS}
The slope is influenced by
Marginal Rate of Substitution
between commodity
consumed by the consumer.
{MRS}
Isoquant Curve Indifference Curve

14. Prepared by:
Manan Saxena !!
B.Com Hon Accounts ‘C’