Marginal Cost

We recently discussed marginal cost as it relates to decision making. We also discussed the four market structures as they relate to setting prices and output decisions. Look at the lectures on chapters 13 through 17. What are some of the takeaways that you have after reflecting on how a business can make decisions using the marginal cost marginal revenue idea? What market structure would you like to be a seller in? What market structure would you like to be a buyer in? How do you think understanding these concepts can help you be a better producer or a better consumer?

 

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