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Isocost curves describe the combination of inputs to production that cost the same amount to the firm. Isocost curve C is tangent to isoquant Q at A and shows that output Q can be produced at minimum cost with labor input L and capital input K. Other input combinations-L2,K2 and L3,K3-yield the same output at higher cost. Copyright by Caidonghong Copyright by Caidonghong Isocost curves describe the combination of inputs to production that cost the same amount to the firm. Isocost curve C1 is tangent to isoquant Q1 at A and shows that output Ql can be produced at minimum cost with labor input L1 and capital input Kl . Other input combinations-L2 , K2 and L3 , K3 -yield the same output at higher cost
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