Ask Question
19 February, 21:49

The law of diminishing marginal utility states that

+5
Answers (1)
  1. 19 February, 21:52
    0
    The law diminishing marginal utility states that as the consumer is consuming more and more units of a good then the utility obtained from the consumption of an extra unit of a good goes on diminishing. This is because of the satisfaction obtained from the units of a commodity, as a consumer would obtain higher satisfaction from the first unit and obtain less satisfaction from the next unit of a commodity.

    For example; If a person is hungry and he wants to eat chapati. So, the first chapati will give him the maximum satisfaction as compared to the second chapati.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “The law of diminishing marginal utility states that ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers