Why is marginal analysis involved in economics?

In: Economics [Edit categories]

Answers.com > Wiki Answers > Categories > Science > Social Sciences > Economics > Why is marginal analysis involved in economics?
Answer:
Economic theory makes much use of marginal concepts. Marginal cost, marginal revenue, marginal rate of substitution, marginal utility, marginal product, and marginal propensity to consume are a few examples. Marginal means on the margin and refers to what happens with a small change from the present position. It is the concept of economic choices to make small changes rather than large-scale adjustments.
Marginal analysis is the key principle of profit-maximization in firms and utility maximization among consumers.
First answer by ID1211323673. Last edit by ID1211323673. Question popularity: 2 [recommend question].

Can you answer these Economics questions?

Relevant answers:

Related videos:

View more science videos

Related Ads:

Related ads:

Sign in using:

Answers.com members:




Create account
Join using:

Join Answers.com:





Already a member?
Sign in
Why join?
Joining is free and easy. You can still be anonymous; just choose any username and password.

  • Get notified about updated answers
  • Follow your favorite categories
  • Get credit for your contributions
  • Customize your profile
  • Answer questions more easily
Not convinced? Read more.
Lost your password?

You may already have an Answers.com account.
Click here to connect your accounts.  
If you don't want to connect accounts, you can start a new one from scratch.
Minor details...


  

Connect your accounts...




Lost password?
Why do we need your email address?
We will use your email address to send you updates (if you request them) about questions you ask, answer or track, and to help you retrieve your password if you forget it.

Your email address will not be used for any other purpose without your permission.
Already have an Answers.com account? Connect your accounts!
By doing so, you include all of your history (contributions, messages, profile) from your Answers.com account in your Facebook account.

If you don't connect accounts, your new account will be starting from scratch.

Home

Welcome
Help center
Browse categories
Random question
Community forum