A small town is considering building a new community center. The estimated marginal cost of building the center is $300,000, while the expected marginal benefit from increased community activities and potential revenue is estimated at $500,000 annually. If the town council is evaluating whether to proceed with the project, which of the following considerations would best support their decision based on marginal cost and benefit analysis?

When the town council considers building the new community center, they should focus on the difference between the marginal cost and the marginal benefit. The marginal cost of $300,000 is the amount they would spend to build the center, while the marginal benefit of $500,000 represents the value the community will gain each year from the center, such as increased activities and potential revenue. Since the expected benefit is greater than the cost, this suggests that the project would be a good investment for the town. For example, if the center attracts more events and visitors, it could generate revenue that exceeds the initial cost, making it financially worthwhile. Therefore, the town council should likely proceed with the project, as the benefits significantly outweigh the costs.