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One relationship between marginal utility and total utility. When total is 

Economics
WAEC 2016

One relationship between marginal utility and total utility. When total is 

  • A. rising, marginal utility is rising
  • B. falling, marginal utility is negative
  • C. maximum, marginal utility is maximum
  • D. falling, marginal utility is rising
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Correct Answer: Option B
Explanation

The following are the various relationships between  total and marginal utility.

  • When marginal utility is positive , total utility increases
  • When marginal utility is zero , total utility is at maximum
  • When marginal utility is negative , total utility decreases
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