The additional benefit from your second hamburger is less than the additional benefit from your first hamburger because your total benefits are decreasing.

Question

Quizplus · Accepted Answer

The additional benefit from your second hamburger is less than the additional benefit from your first hamburger due to the principle of diminishing marginal utility, which states that as a person consumes more of a good, the additional satisfaction from each additional unit decreases, not because total benefits are decreasing. Total benefits can still increase, just at a decreasing rate.

The Additional Benefit from Your Second Hamburger Is Less Than