Burkey, Mark L. (2008): A brief introduction to marginal analysis for the micro-economics principles course. Published in: JOURNAL OF ECONOMICS AND FINANCE EDUCATION , Vol. 7, No. 2 (2008): pp. 1-3.
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This brief note provides a simple, yet powerful example of how the marginal cost/marginal benefit principle can be used in everyday life. Using the decision of the optimal choice of speed on the highway, this note was developed for use as one of the first readings in an introductory microeconomics course. It is clear in this demonstration that marginal cost is increasing, while marginal benefit is decreasing, and how the intersection of these two curves shows the optimal choice. In addition, shifts in the curves can easily be demonstrated as an introduction to supply and demand.
|Item Type:||MPRA Paper|
|Original Title:||A brief introduction to marginal analysis for the micro-economics principles course|
|Keywords:||marginal analysis; economic education|
|Subjects:||A - General Economics and Teaching > A2 - Economics Education and Teaching of Economics|
|Depositing User:||Mark L. Burkey|
|Date Deposited:||27. Jan 2012 21:37|
|Last Modified:||18. Feb 2013 06:17|
Kloeden, C., McLean, A., Moore, V., and Ponte, G., 1997, “Travelling Speed and the Risk of Crash Involvement,” NHMRC Road Accident Research Unit, The University of Adelaide, November 1997 http://raru.adelaide.edu.au/speed, accessed 08/31/2008.