The principle of diminishing marginal utility says that
A) marginal utility is negative as the quantity of the good consumed increases.
B) total utility decreases as the quantity of the good consumed increases.
C) total utility increases by smaller and smaller amounts as the quantity of the good consumed increases.
D) total utility increases by larger and larger amounts as the quantity of the good consumed increases.

Question

Quizplus · Accepted Answer

The principle of diminishing marginal utility states that as a person consumes more units of a good, the additional satisfaction (marginal utility) gained from consuming each additional unit decreases.

The Principle of Diminishing Marginal Utility Says That