Peer Review

Marginal Analysis

Material Detail page

Reviewed:: Nov 14, 2023 by Business

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Ratings

Overall Rating:

Content Quality:

Effectiveness:

Ease of Use:

Overview:

In this problem, students consider the benefits of reduced tray usage in school cafeterias by comparing the cost savings of having to clean fewer trays against the opportunity cost of increased labor and energy costs to clean the cafeteria after meals.

Type of Material:

Case Study Assignment.

Recommended Uses:

Can be assigned in-class, for homework, either to individual students or student teams. Can also be used as a class demonstration example.

Technical Requirements:

Chrome,

Identify Major Learning Goals:

1. explain the concepts of marginal benefit, marginal cost, and opportunity cost.

2. describe the appropriate solution using marginal analysis.

3. Students should be able to accurately calculating marginal costs and marginal benefits; compare marginal benefits and marginal costs correctly; and offer a definitive solution regarding the number of trays to reduce.

1. explain the concepts of marginal benefit, marginal cost, and opportunity cost.

2. describe the appropriate solution using marginal analysis.

Target Student Population:

College General Ed, College Lower Division

Microeconomics classes

Prerequisite Knowledge or Skills:

Students should have learned the concepts of opportunity cost, marginal cost and marginal benefit before addressing this particular problem.
An introduction to a constant marginal cost may be needed as students may not be familiar with the concept.

Content Quality

Rating:

Strengths:

The scenario was simply presented with essential cost information given, from which marginal benefit and marginal cost could be calculated.
The data spreadsheet of cost savings and cost expenditures were provided.
Example given was one that would be relevant to students.
Content is complete with detailed instructions and instructor's notes and solutions.

Concerns:

None

Potential Effectiveness as a Teaching Tool

Rating:

Strengths:

Once a student has been taught the definitions of marginal benefit and marginal cost, this case study reinforces the knowledge with concrete data that tests the student’s understanding.
No extraneous information is given in the case example.
This learning material is easy to use and increases student learning potential.

Concerns:

None

Ease of Use for Both Students and Faculty

Rating:

Strengths:

The example can easily be accessed online or given as a class handout.
The material is in Word format that is accessible to most, and can easily be converted to pdf format, Google Docs, etc.
The materials provide clear and accurate instructions for use in the classroom.

Concerns:

None

Other Issues and Comments:: Very good learning tool, presented as a problem-solving challenge, that should be engaging for the students.
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