Suppose you eat two hamburgers for lunch. The marginal benefit of the first burger is usually ________ of the second burger.
A) equal to the marginal benefit
B) equal to the marginal cost and the marginal benefit
C) larger than the marginal benefit
D) not related to the marginal benefit
E) smaller than the marginal benefit

Question

Quizplus · Accepted Answer

The marginal benefit of the first burger is usually larger than the marginal benefit of the second burger due to the principle of diminishing marginal utility, which states that as a person consumes more of a good, the additional satisfaction (marginal benefit) from consuming an additional unit of that good decreases.

Suppose You Eat Two Hamburgers for Lunch