ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The law of diminishing marginal utility holds that as we consume more of an item, the amount of satisfaction produced by each additional unit of that good declines. The change in utility gained from utilizing an additional unit of a product is known as marginal utility.

Detailed explanation-2: -Most goods provide diminishing marginal utility. According to the law of diminishing marginal utility, as the consumption of good increases the additional amount of happiness the good provides the consumer decreases.

Detailed explanation-3: -The law of diminishing marginal utility means that as you use or consume more of something, you will get less satisfaction from each additional unit of that thing.

Detailed explanation-4: -The law of diminishing marginal utility explains that as a person consumes more of an item or product, the satisfaction (utility) they derive from the product wanes.

Detailed explanation-5: -The “Law of Diminishing Marginal Utility” states that for any good or service, the marginal utility of that good or service decreases as the quantity of the good increases, ceteris paribus. In other words, total utility increases more and more slowly as the quantity consumed increases.