A rational decision maker will engage in more of an activity only if the marginal benefit ot the additional activity
A)is positive
B)is at its maximum level
C)is greater than or equal to the expected marginal cost
D)is less than the expected marginal cost
E)exactly equals the expected marginal cost

Question

Quizplus · Accepted Answer

A rational decision maker will engage in more of an activity if the marginal benefit is greater than or equal to the expected marginal cost, as this ensures that the activity is worthwhile or profitable.

A Rational Decision Maker Will Engage in More of an Activity