Rational Behavior Requires Thinking at the Margin

question 294

Multiple Choice

Rational behavior requires thinking at the margin. Which example represents this type of thinking?

• A) deciding whether a second burger is worth the extra $2
• B) deciding whether the overtime pay is worth working on your day off
• C) deciding whether to pay a fine for polluting the local harbor or installing antipollution machinery
• D) All of these examples represent thinking at the margin.

---

Definitions:

Shower Injury

Shower injury refers to physical harm or damage that occurs to an individual as a result of an accident or unsafe conditions while using a shower.

MUMA

The Model Uniform Money Services Act, legislation designed to provide a framework for regulating money services businesses, such as money transmitters, ensuring consumer protection and financial stability.

Medical Marijuana

The use of cannabis and its constituent chemicals as a physician-recommended form of medicine or herbal therapy.

Appellate Court

A court that reviews the decisions of lower courts to ensure the law was applied correctly and justice was served.