However, there were two distinct sources of efficiency losses: (1) behavioral imperfections, such as trading by extramarginal players, overinsurance, and underinsurance and (2) efficiency distortions due to health insurance regulations.
Worker 5 and Firm 10 are extramarginal and do not trade.
According to Gudelis (1963), marginal glacial formations are divided into frontal, intramarginal, and extramarginal
Do Hostile Takeovers Reduce Extramarginal
The original Maryland evaluation suggested that EBT technology may reduce the marginal propensity for households to spend cash income on food (Abt Associates 1994), which would be consistent with increased extramarginal behavior under EBT.
In summary, AFDC households, who are more likely to appear extramarginal, also appear more likely to spend food stamp benefits in non-supermarkets in the first three days of the food stamp month.
Some assert that private insurance is superior to public insurance either because the underlying profit motives price out the externality problem (Philipson and Becker, 1998) or because public provision is extramarginal
(Davies and Kuhn, 1992).
Because these cards represent extramarginal
units, this does not change the equilibrium price in either market.
Neumark, "Do Hostile Takeovers Reduce Extramarginal
16) In some clearinghouse market clearings, there are no extramarginal bids or no extramarginal asks; in such cases spread is not defined.
Indeed, more than a year after this comment was first written, Wunsch reluctantly modified his auction rules to allow traders to temporarily hide large extramarginal orders.
The extreme cases can be generalized to one in which (1) all restaurant customers, both pre-existing and previously extramarginal
, place a premium on dining in restaurants boasting antibody-negative workers, customers having individually diminishing marginal utilities (decreasing demand prices) for such services; and (2) workers suffer an increasing cost (a rising supply price) of taking the AIDS antibody test.