What does making decisions "at the margin" mean?
A) that people make those decisions that do not impose a marginal cost
B) that people evaluate how easily a decision can be reversed if problems arise
C) that people compare the marginal costs and marginal benefits of each decision
D) that people always calculate the marginal dollar costs for each decision

Question

Quizplus · Accepted Answer

Making decisions "at the margin" means comparing the marginal costs and marginal benefits of each decision. This involves evaluating the additional costs and benefits of a small incremental change in the decision. It is important to consider the marginal costs and benefits because decisions are rarely made in a vacuum and small changes can have a significant impact on the outcome. Thus, the best choice is C.

What Does Making Decisions "At the Margin" Mean