Microeconomics 13th Edition by Russell Sobel, David Macpherson, Richard Stroup, James Gwartney

Exercise 4

*Are prices an accurate measure of a good's total value? Are prices an accurate measure of a good's marginal value? What's the difference? Can you think of a good that has high total value but low marginal value? Use this concept to explain why professional wrestlers earn more than nurses, despite the fact that it is virtually certain that nurses create more total value for society than do wrestlers.