**Question:**Which of the following diagrams shows isoquants for a Cobb-Douglas production function?**Diagrams:****A:**- The graph shows two linear lines. The lines are straight and slope downwards from left to right.- The axes are labeled $ x_2 $ (vertical) and $ x_1 $ (horizontal).**B:**- The graph contains two L-shaped lines. Each L-shape has a vertical and a horizontal component meeting at a right angle.- The axes are labeled $ x_2 $ (vertical) and $ x_1 $ (horizontal).**C:**- The graph displays two convex curves. They slope downward from left to right, bending inwards towards the origin.- The axes are labeled $ x_2 $ (vertical) and $ x_1 $ (horizontal).**D:**- The graph shows two convex curves. They are upward sloping from left to right.- The axes are labeled $ x_2 $ (vertical) and $ x_1 $ (horizontal).**Options:**- ○ A- ○ B- ○ C- ○ D**Explanation:**The Cobb-Douglas production function is typically represented by convex curves that exhibit diminishing marginal rates of substitution. Therefore, diagram C, with its convex downward-sloping curves, is characteristic of Cobb-Douglas isoquants.

Isoquant- It is the curve that represents different combination of two inputs that produce maximum…

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mhich of the following diagrams shows isoquants for a Cobb-Douglas production function? X2 X1 X1 X2 X2 DA

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Isocost and Isoprofit Curve Analysis

An isocost curve in the production theory that is a crucial part of economics depicts different combinations of factor inputs at a given market cost. In other words, this shows all the combinations of production factors that cost the same for the firm to employ. Usually, this can be depicted as a downward sloping straight line when the firms act as the price-takers in the factor markets. The slope of this mainly depicts the relative prices of different production factors.

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