If Anne receives more satisfaction as she consumes more shoes,then
A) The marginal utility of shoes is positive
B) The marginal utility of shoes is negative
C) The marginal utility of shoes is constant
D) The marginal utility of shoes is zero

Question

Quizplus · Accepted Answer

According to the law of diminishing marginal utility, as an individual consumes more of a good, the additional satisfaction they receive from each additional unit consumed will decrease. However, in this scenario, Anne is receiving more satisfaction as she consumes more shoes, which means her marginal utility of shoes is positive.

If Anne Receives More Satisfaction as She Consumes More Shoes,then