If the price of a good falls, before the amount consumed changes the marginal utility per dollar from that good
A) decreases.
B) increases.
C) might either increase or decrease depending on whether the good is a substitute or a complement.
D) More information is needed to determine the answer.

Question

Quizplus · Accepted Answer

When the price of a good falls, the marginal utility per dollar spent on that good increases because the consumer gets more utility for each dollar spent due to the lower price.

If the Price of a Good Falls, Before the Amount