Isocost lines
A)represent the combinations of inputs that have the same marginal cost.
B)represent the combinations of inputs that have the same total cost.
C)are the inverse of the isoquant lines.
D)represent supply and demand for inputs at a given cost.

Question

Quizplus · Accepted Answer

Isocost lines represent the various combinations of inputs that a firm can use to produce a given level of output at the same total cost. Therefore, option B is the correct answer. Option A is incorrect because marginal cost is not constant on an isocost line. Option C is incorrect because isoquant lines represent the various combinations of inputs that a firm can use to produce a given level of output. Option D is incorrect because isocost lines do not represent supply and demand for inputs, but rather the cost of inputs at a given level of output.

Isocost Lines