Question

Explain how diminishing marginal utility results in the need for consumers to make choices. How does...

  • Explain how diminishing marginal utility results in the need for consumers to make choices.
  • How does diminishing utility switch consumption from one good to another?
  • Make sure to include an example to illustrate your ideas.
  • If necessary, complete additional research to support your ideas on this topic.

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The law of diminishing marginal utility can be applied to so many careers, circumstances, and choices....
The law of diminishing marginal utility can be applied to so many careers, circumstances, and choices. For example, one nursing student illustrated this by describing that when a dose of morphine is administered, pain subsides. Another larger dose may not bring about greater relief. There is a point at which a larger dose does NOT bring any additional relief to pain. In other words, an additional unit of consumption brings about diminishing marginal utility. This was an application of the...
1. Think of a time when you experienced diminishing marginal utility? 2. Explain in detail how...
1. Think of a time when you experienced diminishing marginal utility? 2. Explain in detail how and why your marginal utility diminished upon continued consumption of the good/service. 3. What happened to your total utility as you continued to consume the product? At which point did you reach your maximum total utility? 4. Explain how diminishing marginal utility might affect the price of additional units of consumption of a product and try to provide a real-life example.
Diminishing marginal utility" means that: Group of answer choices the individual is maximizing net utility. each...
Diminishing marginal utility" means that: Group of answer choices the individual is maximizing net utility. each additional unit of consumption will increase utility by larger and larger amounts. each additional unit of consumption will increase utility, but by smaller and smaller amounts. each additional unit of consumption will decrease utility.
According to the concept of diminishing marginal utility, consumers will purchase more of a good when...
According to the concept of diminishing marginal utility, consumers will purchase more of a good when the price falls because A) the good is now perceived as having higher quality. b) substitutes are relatively more expensive. c) the marginal benefit of additional units of the good now outweigh the marginal cost. d) consumers' real income has increased.
How does the law of demand reflect the law of diminishing marginal utility? Illustrate.
How does the law of demand reflect the law of diminishing marginal utility? Illustrate.
Lower prices: lower the marginal utility per dollar spent and cause consumers to buy less of...
Lower prices: lower the marginal utility per dollar spent and cause consumers to buy less of a good. increase the marginal utility per dollar spent and cause consumers to buy less of a good. do not change the marginal utility per dollar. lower the marginal utility per dollar spent and cause consumers to buy more of a good. increase the marginal utility per dollar spent and cause consumers to buy more of a good. Question 17 Suppose your favorite ice...
describe the concept of utility and explain how consumers spend in order to maximize utility? Please...
describe the concept of utility and explain how consumers spend in order to maximize utility? Please elaborate on this: Utility is value / satisfaction attained by consumers from consuming a good. Consumer maximize utility when marginal utility per dollar (marginal utility / dollar) of a good is maximized where marginal utility is extra utility attained from consuming additional unit.
Neoclassical economics assumes that consumers make rational, calculated choices about their consumption bundle. Explain how the...
Neoclassical economics assumes that consumers make rational, calculated choices about their consumption bundle. Explain how the budget constraint affects consumer choice in this context.
DIMINISHING MARGINAL UTILITY - (A) The utility you receive from mney follows this chart: DOLLARS UTILITY...
DIMINISHING MARGINAL UTILITY - (A) The utility you receive from mney follows this chart: DOLLARS UTILITY 1 200 2 300 3 380 4 440 5 480 Your current government bonds pay you a return of $3 per month. You can sell them and buy a stock that has a fifty percent chance of paying $4 per month and a fifty percent chance of paying $2 per month. Why would you not make that exchange? Why would you be even less...
DIMINISHING MARGINAL UTILITY - (A) The utility you receive from mney follows this chart: DOLLARS UTILITY...
DIMINISHING MARGINAL UTILITY - (A) The utility you receive from mney follows this chart: DOLLARS UTILITY 1 200 2 300 3 380 4 440 5 480 Your current government bonds pay you a return of $3 per month. You can sell them and buy a stock that has a fifty percent chance of paying $4 per month and a fifty percent chance of paying $2 per month. Why would you not make that exchange? Why would you be even less...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT