Classify each of the statements as true or false. True False Answer Bank Marginal utility is always positive. Marginal utility is the extra satisfaction experienced by one additional unit of consumption. Diminishing marginal utility means that consumption of an additional unit decreases utility. Utility is a measure of the satisfaction people receive from their choices. Numerical utility values are relatively easy to calculate.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Classify each of the statements as true or false.
True
False
Answer Bank
Marginal utility is always positive.
Marginal utility is the extra satisfaction experienced by one additional unit of consumption.
Diminishing marginal utility means that consumption of an additional unit decreases utility.
Utility is a measure of the satisfaction people receive from their choices.
Numerical utility values are relatively easy to calculate.
Marginal utility is always negative.
If you eat a slice of pizza that gives you food poisoning, your utility will likely decrease.
Transcribed Image Text:Classify each of the statements as true or false. True False Answer Bank Marginal utility is always positive. Marginal utility is the extra satisfaction experienced by one additional unit of consumption. Diminishing marginal utility means that consumption of an additional unit decreases utility. Utility is a measure of the satisfaction people receive from their choices. Numerical utility values are relatively easy to calculate. Marginal utility is always negative. If you eat a slice of pizza that gives you food poisoning, your utility will likely decrease.
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