Krugman's Economics For The Ap® Course
Krugman's Economics For The Ap® Course
3rd Edition
ISBN: 9781319113278
Author: David Anderson, Margaret Ray
Publisher: Worth Publishers
Question
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Chapter 9R, Problem 25MCQ
To determine

The total utility if the marginal utility is positive.

Expert Solution & Answer
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Explanation of Solution

If marginal utility is positive then total utility would be increased and it would be positive too because the total utility cannot be negative. The total utility will increase at decreasing rate when marginal utility declined but it would not be negative as it is the total of all utilities which are consumed.

Therefore, the option b is correct.

Economics Concept Introduction

Introduction:

By consuming or gaining one additional unit of a good or service, a benefit received by the user or consumer is called marginal utility.

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