Can an individual be optimizing if the marginal cost of an activity in which she is...

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Can an individual be optimizing if the marginal cost of an activity in which she is engaged is greater than the marginal benefit? Explain your answer. What predictable adjustments, if any, will she make? If the marginal cost of an activity increases and nothing else changes, what predictable adjustments, if any, will be made? Assume that in each of the above changes, the individual can do nothing to reduce marginal cost. In this case, what specifically has to happen when making the adjustments-if any-that you've sug- gested if the individual is to move toward an optimal outcome? Can an individual be optimizing if the marginal cost of an activity in which she is engaged is greater than the marginal benefit? Explain your answer. What predictable adjustments, if any, will she make? If the marginal cost of an activity increases and nothing else changes, what predictable adjustments, if any, will be made? Assume that in each of the above changes, the individual can do nothing to reduce marginal cost. In this case, what specifically has to happen when making the adjustments-if any-that you've sug- gested if the individual is to move toward an optimal outcome?

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If the marginal cost of an activity is greater than the marginal benefit then the individual is not ... View the full answer