Explain the relation between the total utility and the marginal utility .

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 20, Problem 1QP

To determine

Explain the relation between the total utility and the marginal utility.

Expert Solution & Answer

Explanation of Solution

The total utility is the overall satisfaction accrued by a consumer from all the units of a commodity, whereas the marginal utility is the additional utility accrued from consuming an additional unit. Therefore, as total utility increases, the marginal utility will decline. For example, Person E accrued $2 of utility from eating one banana and $1 of utility from eating the second banana. Hence, as the quantity increases from 1 banana to 2 bananas, the total utility increases from $2 to $3 (2+1), where the marginal utility is $1 (3-2). Hence, as the total utility rises, the marginal utility declines.

Economics Concept Introduction

Total utility: The total utility is defined as the overall satisfaction that a consumer derives from consuming all units of a good or service over a given time period.

Marginal utility: Marginal utility is the additional utility derived from consuming one more unit of a good or service.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

3 Producer Surplus, PS $12 $11 S Book Print rences Legend ●Demand ● Supply Price $10 $9 $8 $7 $6 D $5 0 1 2 3 4 5 6 7 8 00 Tons of Wheat (in thousands) 9 10 a. Indicate the consumer surplus if the market is in equilibrium. Instructions: Use the tool provided "Consumer Surplus, CS" to shade in the consumer surplus area on the graph. b. Indicate the producer surplus if the market is in equilibrium. Instructions: Use the tool provided "Producer Surplus, PS" to shade in the producer surplus area on the graph.

Figure 4-4 PRICE a P B Q a QUANTITY Supply Refer to Figure 4-4. The movement from point A to point B on the graph is called a decrease in supply. an increase in supply. an increase in the quantity supplied. a decrease in the quantity supplied. tv all A 18

not use ai please

Answer 2

Question

Chapter 20, Problem 1QP

To determine

Explain the relation between the total utility and the marginal utility.

Expert Solution & Answer

Explanation of Solution

The total utility is the overall satisfaction accrued by a consumer from all the units of a commodity, whereas the marginal utility is the additional utility accrued from consuming an additional unit. Therefore, as total utility increases, the marginal utility will decline. For example, Person E accrued $2 of utility from eating one banana and $1 of utility from eating the second banana. Hence, as the quantity increases from 1 banana to 2 bananas, the total utility increases from $2 to $3 (2+1), where the marginal utility is $1 (3-2). Hence, as the total utility rises, the marginal utility declines.

Economics Concept Introduction

Total utility: The total utility is defined as the overall satisfaction that a consumer derives from consuming all units of a good or service over a given time period.

Marginal utility: Marginal utility is the additional utility derived from consuming one more unit of a good or service.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 20, Problem 1QP

To determine

Explain the relation between the total utility and the marginal utility.

Expert Solution & Answer

Explanation of Solution

The total utility is the overall satisfaction accrued by a consumer from all the units of a commodity, whereas the marginal utility is the additional utility accrued from consuming an additional unit. Therefore, as total utility increases, the marginal utility will decline. For example, Person E accrued $2 of utility from eating one banana and $1 of utility from eating the second banana. Hence, as the quantity increases from 1 banana to 2 bananas, the total utility increases from $2 to $3 (2+1), where the marginal utility is $1 (3-2). Hence, as the total utility rises, the marginal utility declines.

Economics Concept Introduction

Total utility: The total utility is defined as the overall satisfaction that a consumer derives from consuming all units of a good or service over a given time period.

Marginal utility: Marginal utility is the additional utility derived from consuming one more unit of a good or service.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 20, Problem 1QP

To determine

Explain the relation between the total utility and the marginal utility.

Expert Solution & Answer

Explanation of Solution

The total utility is the overall satisfaction accrued by a consumer from all the units of a commodity, whereas the marginal utility is the additional utility accrued from consuming an additional unit. Therefore, as total utility increases, the marginal utility will decline. For example, Person E accrued $2 of utility from eating one banana and $1 of utility from eating the second banana. Hence, as the quantity increases from 1 banana to 2 bananas, the total utility increases from $2 to $3 (2+1), where the marginal utility is $1 (3-2). Hence, as the total utility rises, the marginal utility declines.

Economics Concept Introduction

Total utility: The total utility is defined as the overall satisfaction that a consumer derives from consuming all units of a good or service over a given time period.

Marginal utility: Marginal utility is the additional utility derived from consuming one more unit of a good or service.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 20, Problem 1QP

To determine

Explain the relation between the total utility and the marginal utility.

Expert Solution & Answer

Explanation of Solution

The total utility is the overall satisfaction accrued by a consumer from all the units of a commodity, whereas the marginal utility is the additional utility accrued from consuming an additional unit. Therefore, as total utility increases, the marginal utility will decline. For example, Person E accrued $2 of utility from eating one banana and $1 of utility from eating the second banana. Hence, as the quantity increases from 1 banana to 2 bananas, the total utility increases from $2 to $3 (2+1), where the marginal utility is $1 (3-2). Hence, as the total utility rises, the marginal utility declines.

Economics Concept Introduction

Total utility: The total utility is defined as the overall satisfaction that a consumer derives from consuming all units of a good or service over a given time period.

Marginal utility: Marginal utility is the additional utility derived from consuming one more unit of a good or service.

Answer 6

Chapter 20, Problem 1QP

To determine

Explain the relation between the total utility and the marginal utility.

Expert Solution & Answer

Explanation of Solution

The total utility is the overall satisfaction accrued by a consumer from all the units of a commodity, whereas the marginal utility is the additional utility accrued from consuming an additional unit. Therefore, as total utility increases, the marginal utility will decline. For example, Person E accrued $2 of utility from eating one banana and $1 of utility from eating the second banana. Hence, as the quantity increases from 1 banana to 2 bananas, the total utility increases from $2 to $3 (2+1), where the marginal utility is $1 (3-2). Hence, as the total utility rises, the marginal utility declines.

Economics Concept Introduction

Total utility: The total utility is defined as the overall satisfaction that a consumer derives from consuming all units of a good or service over a given time period.

Marginal utility: Marginal utility is the additional utility derived from consuming one more unit of a good or service.

Answer 7

Chapter 20, Problem 1QP

To determine

Explain the relation between the total utility and the marginal utility.

Answer 8

Expert Solution & Answer

Explanation of Solution

The total utility is the overall satisfaction accrued by a consumer from all the units of a commodity, whereas the marginal utility is the additional utility accrued from consuming an additional unit. Therefore, as total utility increases, the marginal utility will decline. For example, Person E accrued $2 of utility from eating one banana and $1 of utility from eating the second banana. Hence, as the quantity increases from 1 banana to 2 bananas, the total utility increases from $2 to $3 (2+1), where the marginal utility is $1 (3-2). Hence, as the total utility rises, the marginal utility declines.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Economics Concept Introduction

Total utility: The total utility is defined as the overall satisfaction that a consumer derives from consuming all units of a good or service over a given time period.

Marginal utility: Marginal utility is the additional utility derived from consuming one more unit of a good or service.

Answer 12

Ch. 20.1 - Prob. 1ST Ch. 20.1 - Prob. 2ST Ch. 20.1 - Prob. 3ST Ch. 20.2 - Prob. 1ST Ch. 20.2 - Prob. 2ST Ch. 20.3 - Prob. 1ST Ch. 20.3 - Prob. 2ST Ch. 20 - Prob. 1QP Ch. 20 - Prob. 2QP Ch. 20 - Prob. 3QP

Explain the relation between the total utility and the marginal utility .

Solution Summary: The author explains the relation between the total utility and the marginal utility. Total utility is the overall satisfaction accrued by a consumer from all units of the commodity.

Explain the relation between the total utility and the marginal utility.

Explanation of Solution

Want to see more full solutions like this?

Chapter 20 Solutions