The additional satisfaction gained from consuming one more unit of a product or service is
A)marginal utility.
B)total utility.
C)the same for every person.
D)average utility.
E)not measurable.

Question

Quizplus · Accepted Answer

The additional satisfaction gained from consuming one more unit of a product or service is called marginal utility. It refers to the increase in satisfaction that a consumer experiences when consuming an additional unit of a good or service. Marginal utility is the basis for understanding consumer behavior, and it helps to explain why consumers make certain decisions about what to buy and how much to buy.

The Additional Satisfaction Gained from Consuming One More Unit of a Product