Diminishing marginal utility means thatA) as you consume more of a good, other things constant, the total satisfaction you obtain from consuming this good tends to fall.B) as you hire more labor, other things constant, the total amount produced begins to fall.C) as you consume more of a good, other things constant, the additional satisfaction you obtain from each additional unit of the good tends to fall.D) as you consume more of a good, other things constant, the extra satisfaction you obtain from each additional unit becomes negative.

Question

Diminishing marginal utility means thatA)  as you consume more of a good, other things constant, the total satisfaction you obtain from consuming this good tends to fall.B)  as you hire more labor, other things constant, the total amount produced begins to fall.C)  as you consume more of a good, other things constant, the additional satisfaction you obtain from each additional unit of the good tends to fall.D)  as you consume more of a good, other things constant, the extra satisfaction you obtain from each additional unit becomes negative.

Melissa Koluder · Accepted Answer

Final Answer : C, Explanation :  Diminishing marginal utility refers to the decrease in additional satisfaction or utility gained from consuming each additional unit of a good, while total satisfaction may still increase but at a decreasing rate.

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