WAEC - Economics (2012 - No. 15)
The law of diminishing marginal utility applies to a
firm which minimizes cost
consumer who maximizes satisfaction
producer who maximizes marginal product
consumer who minimizes total utility
Explication
The law of diminishing marginal utility states that the marginal utility of a good or service declines as its consumption increases. This means that, as a consumer keeps consuming additional units of a commodity, the additional satisfaction derived will keep decreasing (goods become less valuable as you continue consuming more of it)