Elijah has just eaten his second popsicle.Using the concept of marginal utility,we can say:
A) the utility he will gain from his third will reduce his total utility.
B) the utility he will gain from his third will not reduce his total utility.
C) the utility he will gain from his third will be less than that of his second but will increase his total utility.
D) the utility he will gain from his third will be less than that of his second and may reduce his total utility.

Question

Quizplus · Accepted Answer

According to the Law of Diminishing Marginal Utility, as a person consumes more and more of a good, the marginal utility they obtain from each additional unit will decrease. Therefore, the utility Elijah gains from his third popsicle is likely to be less than that of his second. Additionally, if he continues to consume more popsicles, there is a possibility that the marginal utility may become negative, reducing his total utility.

Elijah Has Just Eaten His Second Popsicle