As the quantity of hot dogs demanded increases,
A)the marginal social benefit from a hot dog decreases.
B)the marginal social cost of a hot dog decreases.
C)the quantity of hot dogs supplied increases.
D)the hot dog market becomes more efficient.
E)the hot dog market becomes less efficient.

Question

Quizplus · Accepted Answer

As the quantity of hot dogs demanded increases, the marginal social benefit from each additional hot dog typically decreases due to the law of diminishing marginal utility.

As the Quantity of Hot Dogs Demanded Increases