Asked by
Andrea Plaza
on Dec 11, 2024
Verified
The principle of diminishing marginal utility says that
A) as more of a good or service is consumed, demand will decrease.
B) as more of a good or service is consumed, the price will rise.
C) the marginal utility of additional units consumed will increase.
D) the marginal utility of additional units consumed will decline.
Marginal Utility
The additional satisfaction or benefit a consumer receives from consuming one more unit of a good or service.
Consumed
The act of using up a good or service, thus removing it from the market and contributing to economic activity.
- Identify the influence of diminishing marginal utility on consumer preferences.
Verified Answer
PD
Learning Objectives
- Identify the influence of diminishing marginal utility on consumer preferences.