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Total Utility can mean the total amount of satisfaction gained from the purchase or consumption of a product.

Marginal Utility is the amount of satisfaction gained from purchasing or consuming more of the same product.

For Example:

If you purchased two slices of Pizza, Your total utility would be the satisfaction you receive from consuming both slices. Your marginal utility would be the satisfaction you gained consuming an additional slice (i.e. The difference between consuming two slices versus one slice)

Typically your marginal utility decreases as your consumption increases.

For Example:

If you have eight pizzas, one extra slice is not likely to bring you as much satisfaction as a second slice would if you only had one slice of pizza (as opposed to eight pizzas).

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∙ 15y ago

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