Marginal utility:
A)explains why individuals find it difficult to maximize their total utility.
B)is the change in total utility that comes from consuming one additional unit of a good or service.
C)can only be applied to situations in which individuals can choose among several goods or services.
D)is the loss in utility an individual experiences after making a bad decision.

Question

Quizplus · Accepted Answer

Marginal utility is defined as the change in total utility that an individual experiences as a result of consuming one additional unit of a good or service. This concept is fundamental in understanding consumer choice and how decisions are made to maximize satisfaction.

Marginal Utility