The law of diminishing marginal utility explains why the demand curve is downward sloping. The law states that as you consume more of a good, the
A) total satisfaction you obtain from consuming the good falls
B) added satisfaction you obtain from consuming an additional unit of the good
Increases at a diminishing rate
C) marginal product increases at a diminishing rate
D) satisfaction you obtain from each additional unit of the good you consume falls
E) total satisfaction you obtain from each additional good you consume decreases at a
Diminishing rate
Correct Answer:
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