Kirk enjoys going to ballparks and watching baseball. Last week, Kirk paid $40 to purchase a ticket that entitled him to watch the entire 9 innning game; however, after the 7th inning (before the game was over), Kirk decided to leave. Assuming Kirk is rational and maximizing his total utility, how would an economist use marginal utility to explain Kirk's decision to stop watching the game before it was over?
Kirk enjoys going to ballparks and watching baseball. Last week, Kirk paid $40 to purchase a ticket that entitled him to watch the entire 9 innning game; however, after the 7th inning (before the game was over), Kirk decided to leave. Assuming Kirk is rational and maximizing his total utility, how would an economist use marginal utility to explain Kirk's decision to stop watching the game before it was over?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Kirk enjoys going to ballparks and watching baseball. Last week, Kirk paid $40 to purchase a ticket that entitled him to watch the entire 9 innning game; however, after the 7th inning (before the game was over), Kirk decided to leave. Assuming Kirk is rational and maximizing his total utility, how would an economist use
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People buy goods and services because of their ability to satisfy human want. That property of a good to satisfy human want is called utility. Marginal utility is the additional utility recieved from consuming an additional unit of the good.
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