Explain how diminishing marginal utility results

Reference no: EM132432425

Utility Instructions

Another key concept in economics is utility, as in all of the benefits that can be gained from consuming something. It is assumed that benefits typically decrease the more they are consumed.

For example, someone may want a hot dog for lunch, but probably not two, and definitely not three; this is called diminishing marginal utility.

For this discussion post, please respond to the following prompts.

Explain how diminishing marginal utility results in the need for consumers to make choices. How does diminishing utility switch consumption from one good to another?

Make sure to include an example to illustrate your ideas. If necessary, complete additional research to support your ideas on this topic. Please be sure to validate opinions and ideas with citations and references in APA format.

Please be sure to validate your opinions and ideas with citations and references in APA format.

Reference no: EM132432425

Questions Cloud

What treatment is available for the patient : what treatment is available for the patient and The region of the brain that was damaged and how the damage occurred.

Describe the product or service to be added to the company : Select a new product or service that you will then be responsible for creating and describing the Operations integration. Describe product be added to compnay

Why think the acronym should include ally : Why you think the LGBTQIA+ acronym should include ally? why you think LGBTQIA+ acronym should not include ally?Do you think should include ally? Explain

Probability that exactly 8 of the students had type ab blood : Part A: What is the probability that exactly 8 of the students had type AB blood? Part B: what is the probability that (at least) 8 of the students had type AB

Explain how diminishing marginal utility results : Explain how diminishing marginal utility results in the need for consumers to make choices. How does diminishing utility switch consumption from one good

What are the impact of debates about abortion : What are the impact of Debates about abortion. How we interact with one another-especially in the workplace-impacts organizational morale.

Analyze and record various business transactions : Explain the difference between the cash basis, and the accrual basis measures of performance and examples of accounts that are treated differently

Describe and define the term bureausclerosis : What elements in your organization contribute to bureausclerosis?How would you resolve or reduce the effects of bureausclerosis in your organization?

Determine the cutoff to use to replace : Determine the cutoff to use to replace the 83.5 lower cutoff for the $10,000 bonus so that the sum of all bonuses is less than or equal to $2,000,000

User Account

All Pages