It is assumed that the marginal benefit of consumption
A) remains constant as more units of the good are consumed.
B) increases as more units of the good are consumed.
C) decreases as more units of the good are consumed.
D) could either increase or decrease as more units of the good are consumed.

Question

Quizplus · Accepted Answer

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

It Is Assumed That the Marginal Benefit of Consumption