Sue drinks three sodas during a particular day.The marginal benefit she enjoys from drinking the third soda

Question

Quizplus · Accepted Answer

All three statements are correct. Option A defines the concept of marginal benefit and how it is calculated. Option B highlights the key role of marginal benefit in determining a person's willingness to pay for an additional unit of a good or service. Option C recognizes that the marginal benefit of consuming additional units of a good typically decreases as more units are consumed, so the marginal benefit of the third soda is likely to be different from the marginal benefit of the second soda. Therefore, all three options are correct.

Sue Drinks Three Sodas During a Particular Day