How to read this
To stay on the isoquant, the output gained from more of input 1 must be lost by giving up input 2: . So the isoquant falls units of per unit of : that is , the slope of the tangent. The two cuts on the right show and as slopes.
- Drag up the isoquant: grows, shrinks, the MRTS rises.
- Shrink : the finite step and the tangent come together.
- Press Three points to compare, then try Linear and Leontief, the two extremes.
Technology
The point on the isoquant
Plot range
The isoquant and its slope
The isoquant, the point and its tangent, slope . The triangle is a finite step: more of input 1, then down to the isoquant (, what you can give up) or to the tangent ().