Marginal utility can:
A) be positive or negative, but not zero
B) decrease, but not become negative
C) be positive, negative, or zero
D) increase positively, but not negatively

Question

Quizplus · Accepted Answer

Marginal utility can indeed be positive, negative, or zero. Positive marginal utility occurs when consuming an additional unit of a good increases overall satisfaction, negative marginal utility occurs when consuming an additional unit decreases overall satisfaction, and zero marginal utility occurs when an additional unit of consumption does not change overall satisfaction.

Marginal Utility Can