Marginal utility is equal to which of the following?
A) total income divided by the price of the product
B) the change in total utility from consuming one more unit of a good
C) the satisfaction obtained from consuming any number of units of a good
D) total utility divided by the number of units of the good
E) None of the above answers is correct.

Question

Quizplus · Accepted Answer

Marginal utility is defined as the additional satisfaction or utility a consumer derives from consuming an extra unit of a good or service. Therefore, it is the change in total utility from consuming one more unit of a good. Options A, C, and D are not correct definitions of marginal utility.

Marginal Utility Is Equal to Which of the Following