When someone is served pizza and soda for dinner,it is typical behavior to eat some pizza,then drink some soda,then eat more pizza,and so on,until the person stops consuming both.How can this behavior be explained using economic concepts?
A) The individual is revealing that he can't decide whether he gains more utility from pizza or from soda.
B) People tend to act irrationally around food, and the concept of utility maximization cannot be applied.
C) The person eats pizza until his marginal utility for pizza is lower than it is for soda, then he switches to soda.
D) The concept of unlimited wants says he will never tire of eating pizza and soda.

Question

Quizplus · Accepted Answer

This behavior can be explained using the concept of marginal utility. The person eats pizza until the marginal utility (the additional satisfaction received from each additional slice) decreases to a level where the marginal utility of drinking soda is greater. Then, the person switches to drinking soda until the marginal utility of soda also decreases. This cycle continues until the person no longer desires either pizza or soda, indicating that the total utility has been maximized.

When Someone Is Served Pizza and Soda for Dinner,it Is