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Marginal Analysis
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Marginal Analysis
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0. Basic Principles of Economics / Marginal Analysis / Problem 2
Problem 2
On a graph showing marginal benefit and marginal cost, what does the intersection point represent?
A
The point where average benefit equals average cost.
B
The point where initial benefit equals initial cost.
C
The point where marginal benefit equals marginal cost, indicating optimal consumption.
D
The point where total benefit equals total cost.
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