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Businesses must determine how to use scarce resources to operate productively. This is often a matter of weighing various factors and making a choice based

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Businesses must determine how to use scarce resources to operate productively. This is often a matter of weighing various factors and making a choice based on how each of these factors is affected. The purpose of this assignment is to apply your knowledge of opportunity cost, marginal cost, and marginal revenue and benefit In this assignment, you will examine several scenarios, determine the best course of action, and analyze the decision you make. To prepare for this assignment, you should: Watch the Opportunity Cost video in the Week 3 content. Read the Comparative Advantage, Specialization, and Exchange and Trade topics in the Week 3 content. .Read Chapter 2 in the textbook. Instructions for Completing this Assignment 1. Read each of the cases below and for each case, consider the following factors: Opportunity cost Marginal cost Marginal revenue/benefit 2. For each situation: a. Describe the best course of action with respect to the factors above. b. Analyze the decision from an economic viewpoint, including: L. What were the marginal benefits? ii. What were the marginal costs (include not just dollar-costs, but also any opportunity costs)? How did you compare the marginal costs with the marginal benefits? iv. Were there any sunk costs involved? Did you include them in your analysis? Case 1 A business that produces small appliances, such as blenders, toasters, and the like is considering expanding its blender line. This might require additional space, labor. and management lime devoted to planning and execuling the expansion. How would your analysis change if you operated this business in a country that had a command and control type of economy, as opposed to if you owned it in the U.S.? Case 2 ECN 101 - Marginal Case Studies Assignment Instructions A business that uses part time employees to provide tutoring services to students is considering expanding during midterm and final weeks. I lowever. to lure extra tutors, they need to pay higher rates or shift some of their temporary employees from other locations (schools in different cities). Case 3 Think about a recent economic decision. This could be anything from a recent purchase to a job change. I low did you make the decision

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