Marginal utility is
A) The sum of the total utility of consuming a certain amount of a good.
B) The additional utility a consumer enjoys from the consumption of one more unit of a good.
C) The diminishing nature of total utility.
D) Always negative or zero.

Question

Quizplus · Accepted Answer

Marginal utility is the additional utility a consumer gains from consuming one more unit of a good. It reflects the change in total utility as consumption increases by one unit. Of the given choices, only option B accurately describes the concept of marginal utility. Option A refers to total utility, not marginal, while option C refers to the diminishing marginal utility, not the concept itself. Option D is incorrect, as marginal utility can be positive, negative, or zero depending on the situation.

Marginal Utility Is