This would have infra- and extramarginal
benefits: existing telephone consumers would benefit from a much larger network, and potential consumers would be induced to join the network.
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.
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.
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
Some observers have also argued that takeovers are driven by the opportunity to expropriate extramarginal
More relevant to the central concern of Shleifer and Summers's analysis, Neumark and Sharpe (1993) found little support for the hypothesis that hostile takeovers transfer wealth from workers to shareholders by reducing extramarginal
It is easy to enforce restrictions of all harvests on extramarginal
lands by simply closing these lands to all harvests.
See Neumark & Sharpe, Hostile Takeovers and Expropriation of Extramarginal
Wages: A Test, Finance and Economics Discussion Series Paper #197 (Federal Reserve Board 1992).