The fact that the fourth plate from the "All You Can Eat Country Buffet" generated more satisfaction than the fifth plate is an example of
A) increasing marginal utility.
B) diminishing marginal utility.
C) diminishing total utility.
D) the "paradox of value."

Question

Quizplus · Accepted Answer

Diminishing marginal utility refers to the decrease in additional satisfaction or utility that a consumer derives from consuming an additional unit of a good or service. In this case, the fourth plate provides more satisfaction than the fifth, illustrating this concept.

The Fact That the Fourth Plate from the "All You