-Andrew's utility of wealth schedule is given in the above table. The table indicates that his marginal utility of wealth ________ as his wealth increases.
A) diminishes
B) is constant
C) increases
D) increases first and then diminishes

Question

-Andrew's utility of wealth schedule is given in the above table. The table indicates that his marginal utility of wealth ________ as his wealth increases.
A) diminishes 
B) is constant 
C) increases 
D) increases first and then diminishes

Quizplus · Accepted Answer

As wealth increases, the additional utility (marginal utility) gained from each additional unit of wealth decreases, indicating diminishing marginal utility.

-Andrew's Utility of Wealth Schedule Is Given in the Above