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In an Edgeworth production box with two fixed inputs and two goods,an efficient use of inputs occurs when the isoquants for the two goods are tangent. If production initially uses the inputs described by A,the shaded area shows the region in which more of both outputs can be produced by rearranging input use.Points B,C,and D are on the production contract curve and involve efficient input use.In an Edgeworth production box with two fixed inputs and two goods, an efficient use of inputs occurs when the isoquants for the two goods are tangent. If production initially uses the inputs described by A, the shaded area shows the region in which more of both outputs can be produced by rearranging input use. Points B, C, and D are on the production contract curve and involve efficient input use
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