Suppose that, instead of increasing his level above the initial choice, the decision maker first tries decreasing

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Suppose that, instead of increasing his level above the initial choice, the decision maker first tries decreasing the amount of whatever it is he is attempting to maximize. Explain how the comparison of marginal cost and marginal benefit for these decreases is made and leads the decision maker to the optimum.

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Law and economics

ISBN: 978-0132540650

6th Edition

Authors: Robert cooter, Thomas ulen

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