Marginal utility will generally decrease when:
A) more of a particular good is consumed.
B) less of a particular good is consumed.
C) average utility is the least.
D) per capita utility is the least.
E) the TU curve's slope is positive rather than negative.

Question

Quizplus · Accepted Answer

Marginal utility generally decreases as more of a particular good is consumed. This results in a diminishing marginal utility curve, where the slope is negative. As more units of the good are consumed, the additional marginal utility obtained from each additional unit decreases, leading to a decrease in overall marginal utility.

Marginal Utility Will Generally Decrease When