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25 April, 12:51

Which purchase would lead to decreasing marginal utility?

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  1. 25 April, 13:12
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    Purchasing something that you already have enough of leads to decreasing marginal utility. This rule influences individuals to spend their money across a variety of consumable goods and services rather than concentrate all of their spending in one area, such as vehicles, food or clothing. When a person spends their money purchasing products or services beyond their immediate needs, then they will enjoy the spending power of their money much less.
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