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It might lead a producer to charge more for a product or service.

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Donato White

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Q: How might marginal cost impact the activity of a producers?
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6. How might marginal cost impact the activity of a producer?

It might lead a producer to charge more for a product or service.


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What does on-margin mean?

On the margin means looking at the next unit of something. For example, when considering business decisions, you might consider the marginal cost of an additional unit of production, or the marginal revenue. (Rather than the average revenue, for instance.)


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What is the government might enact a price floor in order to accomplish?

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