JAMB - Economics (2015 - No. 17)

\(\begin{array}{c|c}
\text{Units of quantity} & \text{Total utility} & \text{Marginal utility} \\
\hline
0 & - & - \\
\hline
1 & 10 & 10 \\
\hline
2 & 15 & 5 \\
\hline
3 & 17 & 2 \\
\hline
4 & 18 & 1 \\
\hline
5 & 18 & 0 \\
\end{array}\)


The table illustrate the law of
admonishing returns
increasing returns
diminishing marginal utility
increasing marginal utility

Explanation

It shows that when total utility is at the maximum, marginal utility equals zero.

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