marginal cost

American  

noun

Economics.

1. the cost of one additional unit of any item produced or bought in quantity.

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marginal cost Cultural  

1. The change in total cost of production when an output is varied by one unit.

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Etymology

Origin of marginal cost

First recorded in 1925–30

Example Sentences

See Examples For:

marginal cost

Their base case holds that the 2029 peak of $300,000 will be reached with a multiple of 1.25 marginal cost, and the $1 million 2033 peak via a multiple of 1.2 times.

From MarketWatch ● Aug. 27, 2026

The fact that marginal cost pricing would lead to reselling, creating windfall profits for anyone lucky enough to get a rationed ticket, does not alter the principle.

From Salon ● Jun. 14, 2026

But you can ask your kid to pay you the marginal cost of their presence in the plan.

From The Wall Street Journal ● May 29, 2026

“While higher margins increase the marginal cost of trading, they are unlikely to halt gains, especially as investors also push cash prices higher,” said Rob Haworth, senior investment-strategy director at U.S.

From MarketWatch ● Jan. 14, 2026

For, while it is impossible to separate out the total utility and cost of wool, it is not impossible to disentangle its marginal utility and its marginal cost.

From Supply and Demand by Hubert D. Henderson