In this lesson, students work in groups and use marginal analysis to make choices. In the assessment, students choose an apartment using marginal analysis. Explain this lesson introduces them to a tool that can help them with purchasing decisions. This tool is called marginal analysis. Explain that in economics, marginal means additional.
Marginal analysis involves evaluating the additional benefits and costs of a decision.
4 Ask for a volunteer to eat granola bars. Explain that you will sell the student granola bars for a quarter each. Collect a quarter for the first granola bar, and ask the student to eat the bar. If yes, collect the quarter and ask the student to eat the granola bar. C. Continue the demonstration until the student decides the marginal benefit from consuming one more granola bar is less than the marginal cost.