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Suppose that you recently bought a new formal outfit for the Scalia Law School dedication dinner at Union Station, costing $200. You also bought tickets
Suppose that you recently bought a new formal outfit for the Scalia Law School dedication dinner at Union Station, costing $200. You also bought tickets to this event that cost $1,000. Because the outfit has been altered, you cannot return it, and the tickets are non-refundable. The week before the event, your favorite band announces a surprise free concert at the 9:30 Club, and because this is an obscure band, you are guaranteed to get in (that is, the free concert will not sell-out). Assume that the price of an Uber ride to the 9:30 Club and to Union Station is identical. Further, assume that you wouldn't have to purchase any new clothes to attend the concert. You should go see the concert if: a. The marginal value of the concert is less than the marginal value of attending the Scalia Law School dedication dinner b. The marginal value of the concert is greater than $200 c. The marginal value of the concert is greater than $1,200 d. The marginal value of the concert is greater than the marginal value of attending the Scalia Law School dedication dinner
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