Question

What Is the Best Example of Diminishing Marginal Utility?

Answer 1

The best example of diminishing marginal utility can be food, as at the time of starvation food provides satisfaction from hunger.

But, if we keep consuming more food, we will be feeling less hungry, and with additional units of food, hunger will get reduced, till the time we do not feel like eating anything.

Also read:

• Difference Between Total Utility and Marginal Utility
• Consumer Equilibrium Utility Analysis
• Difference Between Cardinal and Ordinal Utility Study Material
• Utility

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