The principle of decreasing marginal benefit implies that the
A) additional benefit from obtaining one more of a good or service increases as more is consumed.
B) total benefit from obtaining more of a good or service remains the same as more is consumed.
C) total benefit from obtaining more of a good or service decreases as more is consumed.
D) additional benefit from obtaining one more of a good or service decreases as more is consumed.

Question

Quizplus · Accepted Answer

The principle of decreasing marginal benefit states that as more units of a good or service are consumed, the additional benefit or utility derived from consuming an additional unit decreases. This means that the marginal benefit curve is downward sloping, indicating that each additional unit provides less and less additional benefit or satisfaction. Therefore, choice D is the correct answer.

The Principle of Decreasing Marginal Benefit Implies That the