The Marginal Benefit of Acquiring Additional Information Tends to

question 56

Multiple Choice

The marginal benefit of acquiring additional information tends to

• A)be zero if the marginal cost of information is zero
• B)increase and then decrease as additional information is obtained
• C)be smaller, the smaller the quantity of information the individual already has obtained
• D)increase as additional information is obtained
• E)decrease as additional information is obtained

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Definitions:

Degree of Development

A measure of a country's economic, social, and technological progress.

Collective Behavior

The actions, thoughts, and feelings of a relatively temporary and unstructured group of people.

Norms

Shared expectations and rules that guide behavior within a group or society.

Organizational Structures

The system that outlines how certain activities are directed in order to achieve the goals of an organization, including the rules, roles, and responsibilities.