The value of a good relates to
A)total utility,while price relates to consumer surplus.
B)consumer surplus,while price relates to total utility.
C)marginal utility,while price relates to consumer surplus.
D)marginal utility,while price relates to total utility.
E)total utility,while price relates to marginal utility.

Question

Quizplus · Accepted Answer

The value of a good is often associated with its total utility, which is the total satisfaction received from consuming a good or service. Price, on the other hand, is more closely related to marginal utility, which is the additional satisfaction (or utility) a consumer gains from consuming one more unit of a good or service. The concept of marginal utility helps explain how consumers decide on the quantity of a good to purchase at a given price.

The Value of a Good Relates to