Production Function Graph Microeconomics. The production function gives rise to isoquants or combinations of inputs that all produce the same quantity of output. These are like a consumers indifference curves.
Q K a L b. Economists often use a short-hand form for the production function. Make sure you know these Micro Graphs before your next exam.
We can graph the total output q as a function of the labor used.
A share of income received by owners of capital. A share of income received by owners of capital. Key parts of all graphs are shown and there is a PDF cheat sheet to download. Q f L K Q f L K where L represents all the variable inputs but we can typically think of the quantity of labor and K represents all the fixed inputs but we will typically think of as physical capital.
