Question

what is the difference between Law of Diminishing Margin and Law of Diminishing Marginal Utility?

Answer 1

Law of diminishing marginal returns-

This law applies in production situations. It states that, when a particular input in a production process is increased by one unit (while keeping the amounts of all other inputs held constant), there will always be some point at which the additional amount of output produced begins to increase at a decreasing rate.

Law of diminishing marginal utility-

This law applies in consumption situations. It states that each additional unit consumed of a particular good will increase an individual's total utility by a smaller amount than the previous unit consumed i.e. marginal utility will continue to decrease with the increase in consumption of some good.