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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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Explain difference between total and marginal utility. Define UTILITY. How do consumers maximize UTILITY?

explain the difference between total utility and marginal utility


What is the relationship between the marginal benefit of consuming a good and the overall satisfaction or utility derived from that consumption?

The relationship between the marginal benefit of consuming a good and the overall satisfaction or utility derived from that consumption is that as you consume more of a good, the marginal benefit decreases while the overall satisfaction or utility increases at a decreasing rate. This is known as the law of diminishing marginal utility.


What is the difference between equi-marginal utility and diminishing marginal utility?

What is the difference between equi-marginal utility and diminishing marginal utility?Read more:What_is_the_difference_between_equi-marginal_utility_and_diminishing_marginal_utility


What is the relationship between marginal utility curve and demand curve?

both are equal and complement to each other


What is the relationship between marginal utility and demand?

There is a close relationship between the marginal utility and price of a commodity.The additional satisfaction from the consumption of an additional unit of the commodity is called marginal utilty. Price means the value of the goods expressed in the terms of money.Price of all units of he same goods of consumption are more or less identical.It means that the consumer pays the same price for all the units of the same goods of consumption. But marginal utility of the goods of consumption start diminishing as the consumer increase the units of consumption of the commodity.Therefore the consumer will like to pay that price for the commodity,which is equal to the marginal utility he gets from the commodity.If the price of the commodity are higher than the marginal utility he derives from the commodity he will not like to purchase the commodity. In this way there is a clod\se relation between the marginal utility and the price of the commodity.

Related Questions

Explain difference between total and marginal utility. Define UTILITY. How do consumers maximize UTILITY?

explain the difference between total utility and marginal utility


Explain the merits and demerits of law of diminishing marginal utility?

explain the demerits of diminishing marginal utility


What is total utilitymarginal utility d low of diminishing marginal utility and draw the thoeretical mathematical diagramatically relationship between total and marginal utility?

23w


What is the relationship between the marginal benefit of consuming a good and the overall satisfaction or utility derived from that consumption?

The relationship between the marginal benefit of consuming a good and the overall satisfaction or utility derived from that consumption is that as you consume more of a good, the marginal benefit decreases while the overall satisfaction or utility increases at a decreasing rate. This is known as the law of diminishing marginal utility.


What is the difference between equi-marginal utility and diminishing marginal utility?

What is the difference between equi-marginal utility and diminishing marginal utility?Read more:What_is_the_difference_between_equi-marginal_utility_and_diminishing_marginal_utility


What is the relationship between marginal utility curve and demand curve?

both are equal and complement to each other


What is the relationship between marginal utility and demand?

There is a close relationship between the marginal utility and price of a commodity.The additional satisfaction from the consumption of an additional unit of the commodity is called marginal utilty. Price means the value of the goods expressed in the terms of money.Price of all units of he same goods of consumption are more or less identical.It means that the consumer pays the same price for all the units of the same goods of consumption. But marginal utility of the goods of consumption start diminishing as the consumer increase the units of consumption of the commodity.Therefore the consumer will like to pay that price for the commodity,which is equal to the marginal utility he gets from the commodity.If the price of the commodity are higher than the marginal utility he derives from the commodity he will not like to purchase the commodity. In this way there is a clod\se relation between the marginal utility and the price of the commodity.


How does marginal utility explain the paradox of value?

The paradox of value is explained by the concept of marginal utility, which states that the value of a good is determined by its marginal utility rather than its total utility. For example, water has a high total utility as it is essential for life, but its marginal utility is low because in most situations there is an abundance of water. Conversely, diamonds have a low total utility but a high marginal utility due to their scarcity, leading to a higher market value despite their limited practical use.


When total utility is at its maximum where is marginal utility?

marginal utility is zero


When total utility increases marginal utility is?

marginal utility decreases


What is marginal utility. why marginal utility diminishing. give atleast 10 examples where the marginal utility have not diminising?

Life-saving procedures


Can you explain the concept of marginal utility and how it influences decision-making in economics?

Marginal utility is the additional satisfaction or benefit gained from consuming one more unit of a good or service. In economics, decision-making is influenced by marginal utility because individuals tend to allocate their resources towards goods or services that provide the highest marginal utility relative to their cost. This means that people will continue consuming a good or service until the marginal utility no longer outweighs the cost, helping them maximize their overall satisfaction or utility.