If consumption of a good generates a marginal utility of zero, then consumption of an additional unit would mean that total utility would
A) not change.
B) also be zero.
C) be negative.
D) be increasing.
E) be decreasing.

Question

Quizplus · Accepted Answer

If the marginal utility of the additional unit is zero, it means that the consumer has reached the point of saturation and any further consumption wouldn't add any value to their satisfaction. Therefore, the total utility would not change, meaning no increase or decrease in utility.

If Consumption of a Good Generates a Marginal Utility of Zero