1. Opportunity Cost, Marginal Analysis, Rationalism 2. Opportunity CostoOpportunitycost is the benefit forgone from the alternative that is not selected. Opportunity cost…

1.Marginal Analysis, Inputs, Output & Costs [email_address]2. We ’ll try to learn about: Marginal analysis (marginal costs & benefits) Total, marginal & average…

Slide 1L ECTURE S IX : E CONOMIC E FFICIENCY IPEM Tohoku University Managerial Economics Lecturer: Jack Wu Period 3/ February 16 Slide 2 E CON E FFICIENCY : C ONDITIONS for…

Slide 1E CONOMIC E FFICIENCY Managerial Economics Jack Wu Slide 2 E CONOMIC E FFICIENCY Slide 3 E CON E FFICIENCY : C ONDITIONS for all users, same marginal benefit for all…

Review From last Class What does âmarginalâ mean? T or F: You should continue consuming something as long as marginal benefit > marginal cost. If MB is $7 and MC is…