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Q: Why is the tangent point special?

Q: Why is the tangent point special?. Q: Why is the tangent point special?. A: It gives us a short cut. Features of the tangency between isocost lines and isoquants. Slope of isoquants is called the Marginal Rate of Technical Substitution (MRTS) MRTS = MP L / MP K = (?K / ?L | Q=q)

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Profit max ing firm - PowerPoint PPT Presentation

Q: Why is the tangent point special?