Assume that the marginal product of each input employed by Microsoft depends only on the quantity of

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Assume that the marginal product of each input employed by Microsoft depends only on the quantity of that input employed (and not on the quantities of other inputs), and that diminishing marginal returns hold for each input. Explain why Microsoft’s isoquants must be convex if these assumptions hold.

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Microeconomics Theory and Applications

ISBN: 978-1118758878

12th edition

Authors: Edgar K. Browning, Mark A. Zupan

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