For which decision would marginal analysis be MOST relevant?
A)Should I invest all of my savings in real estate or should I keep it all in a savings account?
B)After I graduate from college,should I go to graduate school or should I get a job?
C)How many hours should I study for my exam?
D)Should I keep a pet?

Question

Quizplus · Accepted Answer

Marginal analysis involves examining the costs and benefits of additional or incremental changes in a decision. In this case, choosing how many hours to study for an exam is a decision that involves analyzing the benefits (improved performance on the exam) and costs (time and effort spent studying). This decision can be made more effectively through marginal analysis. The other options involve larger-scale decisions with more complex factors to consider, making marginal analysis less relevant.

For Which Decision Would Marginal Analysis Be MOST Relevant