The rational rule summarizes the marginal principle. It says that if something is worth doing, keep doing it until your marginal
A)benefits equal your marginal costs.
B)benefits exceed your marginal costs.
C)benefits are zero.
D)costs are less than your marginal benefits.

Question

Quizplus · Accepted Answer

The rational rule states that you should keep doing something as long as the marginal benefit (the additional benefit you receive from doing one more unit of that activity) is greater than or equal to the marginal cost (the additional cost you incur from doing one more unit of that activity). Therefore, the correct choice is A since you need to keep doing it until your marginal benefits equal your marginal costs.

The Rational Rule Summarizes the Marginal Principle