Asked by
peyton schumann
on Nov 11, 2024
Verified
To say that people make decisions at the margin means that:
A) they usually wait until the last minute before making a decision to buy.
B) they weigh the additional costs and the additional benefits of various activities before they make a decision.
C) most people just barely get by on the incomes they earn and live from day-to-day on the very edge of subsistence.
D) if given a choice,most people would prefer to make their own decisions concerning the things that affect their lives.
E) they consider the total cost and the total benefit of various activities before they make a purchase.
Decisions at the Margin
Economical decision-making process involving small changes to existing conditions, analyzing the cost and benefit of incremental adjustments.
Additional Costs
Expenses that are not initially accounted for in the budget or pricing but arise during the execution of a project or the production of goods.
- Familiarize yourself with the assumption of rational behavior in economics and its impact on the decision-making framework.
Verified Answer
JG
Learning Objectives
- Familiarize yourself with the assumption of rational behavior in economics and its impact on the decision-making framework.