If marginal utility is negative,
A) total utility increases at a decreasing rate.
B) the consumer considers extra units of the commodity to be a "bad."
C) the consumer will want to consume the unit only if it is free.
D) the consumer likes the commodity, but not as much as he or she once did.

Question

Quizplus · Accepted Answer

Negative marginal utility means that the consumer is getting less satisfaction from consuming an additional unit of the commodity. This implies that the consumer considers the extra units to be a "bad," or less desirable.

If Marginal Utility Is Negative