The law of diminishing marginal utility suggests that a demand curve:
A) shows a direct relationship between price and quantity demanded.
B) has a slope equal to zero.
C) has a positive slope.
D) has a negative slope.

Question

Quizplus · Accepted Answer

The law of diminishing marginal utility suggests that as more units of a good or service are consumed, the additional satisfaction or utility derived from each additional unit will eventually decline. This means that consumers will be willing to pay less for each additional unit, resulting in a negative slope for the demand curve.

The Law of Diminishing Marginal Utility Suggests That a Demand