The law of diminishing marginal utility states - JAMB Economics 2017 Question
The law of diminishing marginal utility states:
A
The supply curve slopes downward
B
Your utility grows at a slower and slower rate as you consume more and more unit of a good.
C
The elasticity of demand is infinite
D
None of the above
correct option: b
The law of diminishing marginal utility states that the Satisfaction derived from consuming successive units of a commodity will diminish as the total consumption of the commodity increases. In other words, the total utility increases as more of a commodity is consumed but increases at a diminishing rate.
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