Production function

• Level of output of a particular commodity depends upon the quantities of inputs used for its production.
• This relationship between inputs and outputs can be characterized as a production function.
• Thus, it implies to the quantitative aspects of the process of production.
• There exist three types of production relationships. They are:

a) Factor-product relationship ( Input-output relationship)

b) Factor-factor relationship ( Input-Input relationship)

c) Product-Product relationship ( Output-Output relationship)