The principle of decreasing marginal benefit means that as the quantity of a good consumed
A) increases, its marginal benefit decreases.
B) increases, its total benefit decreases.
C) decreases, its marginal benefit decreases.
D) None of the above answers is correct.

Question

Quizplus · Accepted Answer

The principle of decreasing marginal benefit states that as an individual consumes more of a good, the additional satisfaction or benefit from each additional unit consumed diminishes. This means that the marginal benefit, or the additional benefit gained from consuming one more unit of the good, decreases as the quantity consumed increases. This phenomenon is also known as the law of diminishing marginal utility.

The Principle of Decreasing Marginal Benefit Means That as the Quantity