When total utility reaches a maximum, then marginal utility is
A)increasing.
B)decreasing.
C)at a minimum.
D)equal to zero.

Question

Quizplus · Accepted Answer

When total utility reaches a maximum, marginal utility is equal to zero. This is because marginal utility measures the change in total utility from consuming an additional unit of a good or service, and at the maximum total utility, consuming an additional unit does not increase total utility any further.

When Total Utility Reaches a Maximum, Then Marginal Utility Is