The rate at which one input X may be substituted for another input Y in a
production process, while total output remains constant, is:
a) the slope of the isoquant curve
b) the marginal rate of technical substitution (MRTS)
c) equal to MPx/MPy
d) all of the above
e) none of the above
By definition this is equal to the marginal rate of technical substitution (MRTS). The isoquant curve ...
Marginal rate of technical substitution (MRTS) is briefly summarized in this solution.