MyQuestionIcon

1

You visited us 1 times! Enjoying our articles? Unlock Full Access!

Relationship between the Short Run Average and Marginal Cost Curves

What will be ...

Question

What will be the condition of total utility, when marginal utility stays positive?

A

Maximum

No worries! We‘ve got your back. Try BYJU‘S free classes today!

B

Diminishing

No worries! We‘ve got your back. Try BYJU‘S free classes today!

C

Increasing

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

D

Minimum

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A Increasing
When marginal utility diminishes but stays positive then total utility increases at a decreasing rate as it is the summation of all marginal utilities.

Suggest Corrections

thumbs-up

0

Similar questions

Q. When marginal utility is negative, total utility will be __________.

Q. When total utility becomes maximum, then marginal utility will be ______.

Q. Total utility is ______ when the marginal utility starts declining, but remains positive.

Q. When the marginal utility is the maximum, the total utility will be zero.

Q.
Total utility will increase even when marginal utility decreases.

View More

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

The Cost Curve

ECONOMICS

Watch in App

explore_more_icon

Explore more

Relationship between the Short Run Average and Marginal Cost Curves

Standard XI Economics

Join BYJU'S Learning Program

CrossIcon