Decision making on the margin involves
A)eliminating the additional cost when making a decision.
B)comparing the total cost and the total benefit when making a decision.
C)comparing the benefits for the social interest to the benefits for the person's self-interest.
D)comparing the marginal cost and marginal benefit when making a decision.
E)determining the total benefit of a decision.

Question

Quizplus · Accepted Answer

Decision making on the margin involves weighing the additional costs against the additional benefits. By comparing the marginal cost and marginal benefit, individuals can make informed decisions about whether to continue with a particular action, purchase a product, or invest in a project. This approach allows individuals to assess how much more they will gain from the decision compared to how much more they will have to spend.

Decision Making on the Margin Involves