JAMB - Economics (2020 - No. 16)
The law of diminishing marginal utility indicates that if a consumer increases his consumption of a commodity continously
total utility must fall
marginal utility must fall
marginal utility may rise
marginal utility may fall even though his total utility may be rising
Explanation
The law of diminishing marginal utility states that as a consumer consumes an item or a product, the satisfaction or utility that they derive from the product reduces as they consume more and more of that product.
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