2.

Leontieff Production Function:

The production function which represents employment of fixed proportion of inputs and does not
allow any substitution among inputs is known as Leontieff production function. The isoquants which
represent Leontieff production function are ‘L’ shaped. Leontieff production function is expressed as:
Q = Min. (I1 / a, I2 / b)
Where
Q = Quantity of output
I1, I2 = quantities of inputs employed
a, b = requirements of I1 and I2 respectively to produce one unit of output
Let us take a numerical example to illustrate the meaning of the symbolical representation of Leontieff
production function.
Suppose 20 units of input I and 50 units of input II are employed to manufacture a particular product.
If 10 units of input I and 5 units of input II are required to produce one unit of output, then using Leontieff
production function, quantity of output can be determined as
Q = Min. (20 / 10, 50 / 5)
= Min. (2, 10)
= 2 units.
Total quantity of output is 2 units. So, total quantity of input I and 10 units of input II will be utilized.