Asked by Mohammad Ragheb on Jun 19, 2024

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A busy professor needs to decide whether to stay in his office to grade papers for another hour or to go home and go to bed.This is an example of:

A) equity versus efficiency.
B) how one person's spending is another person's income.
C) economic incentives.
D) marginal analysis.

Marginal Analysis

An economic method that involves comparing additional benefits and costs incurred from a particular action for decision-making purposes.

Economic Incentives

Financial or material rewards or penalties that influence the behavior of individuals and businesses.

Grade Papers

The process of evaluating and assigning scores to students' written work or exams.

  • Understand the significance of marginal analysis in economic decision-making.
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CL
Caitie LashbrooksJun 23, 2024
Final Answer :
D
Explanation :
This decision involves comparing the marginal benefits of staying in the office to the marginal costs of doing so (such as lost sleep and decreased productivity the next day). The professor should choose the option where the marginal benefit outweighs the marginal cost. Therefore, the best choice would depend on the individual situation and preferences of the professor.