The demand curve is downward-sloping because of the law of
A) diminishing marginal utility.
B) diminishing consumer equilibrium.
C) consumer equilibrium.
D) diminishing utility maximization.

Question

Quizplus · Accepted Answer

The law of diminishing marginal utility states that as a consumer obtains more units of a product, the marginal utility or satisfaction they derive from each additional unit decreases. Therefore, consumers are willing to pay less for each additional unit, resulting in a downward-sloping demand curve.

The Demand Curve Is Downward-Sloping Because of the Law of