04 diminishing marginal returns
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Transcript of 04 diminishing marginal returns
Bellringer in your notesReview: Utility, Marginal
1. Draw a small chart in your notes showing your level of alertness throughout your school day on
a Wednesday. 0 being not alert and 10 being “top of your game”
1st 0-10
2nd 0-10
3rd 0-10
4th 0-10
5th 0-10
6th 0-10
Chapter 13 Costs
With your partner1. How much information will you miss if you
miss 1 day of a regular school day? 2. What if you miss 2 days?3. What if you miss 8 days?
“the margin”
• Additional• Ex: production, consumption, effort
Two volunteers• Two Volunteers• Marginal utility
Two volunteers
• Two Volunteers• Law of diminishing
marginal returns • Eventually marginal
benefits will decrease
Show theoretical graph
Movie Clips
• How do we see Diminishing Marginal Returns in each clip
• NY Coney Island hot dog eating contest• Squidward
Eventually…
Application to students?
Application to business?
Application to government?
Application to partiers
Closure:Law of Diminishing Marginal Returns
• Benefit of extra input decreases from the last
• Songs• Movies• Video games• Alcohol• Being in school• Studying