If the least-cost input combination doesn't include all inputs,it's called
A) A boundary solution
B) An incomplete solution
C) An interior solution
D) An efficient solution

Question

Quizplus · Accepted Answer

If the least-cost input combination doesn't include all inputs, it means that some inputs are not being used at all or being used at their minimum required level. This type of solution is called a boundary solution. It occurs when the isoquant touches the iso-cost line at the minimum point of an input. Therefore, option A is the correct choice.

If the Least-Cost Input Combination Doesn't Include All Inputs,it's Called