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True or False, optimal decisions are made at the point where marginal cost equals zero.
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Aug 3, 2024
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True or False, optimal decisions are made at the point where marginal cost equals zero.
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False
Optimal decision making occurs at a point where these two equalise. That is, marginal cost of decision is equal to marginal benefit of the decision. This does not happen when marginal cost is zero.
Amritanshu
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Aug 8, 2024
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