WAEC offline past questions - with all answers and explanations in one app - Download for free
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709

Table 1 Units of quantity consumed Total utility Marginal utility 0 - - 1 10...

Economics
WAEC 2019

Table 1
Units of quantity consumed Total utility Marginal utility
0 - -
1 10 10
2 15 5
3 17 2
4 18 1
5 18 0

The table above illustrates the law of?

  • A. diminishing returns
  • B. diminishing marginal  productivity
  • C. diminishing marginal utility
  • D. variable proportion
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
Correct Answer: Option C
Explanation

The law of diminishing marginal utility explains that all things being the same, as consumption increases, the marginal utility derived from each additional unit of a commodity declines. 

What this means is that, as you consume a particular commodity, the satisfaction derived from it increases, but it gets to a point where additional consumption of that particular product will no longer give you as much satisfaction as the first few ones you consumed.

From the table above, the consumer started from 1 unit to five units, and at first, the total utility derived from consuming the product was rising from 10 -> 15 -> 17 -> 18 and remained at 18

However, the marginal utility kept declining after consuming the first unit. It moved from 10 -> 5 -> 2 -> 1 -> 0


Report an Error Ask A Question Download App
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
WAEC offline past questions - with all answers and explanations in one app - Download for free

Contributions ({{ comment_count }})

Please wait...

{{ settings.no_comment_msg ? settings.no_comment_msg : 'There are no comments' }}

Quick Questions

Post your Contribution

Please don't post or ask to join a "Group" or "Whatsapp Group" as a comment. It will be deleted. To join or start a group, please click here

{{ quote.posted_by.display_name }}
{{ settings.form_textarea_description }}
 
WAEC offline past questions - with all answers and explanations in one app - Download for free
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
WAEC May/June 2024 - Practice for Objective & Theory - From 1988 till date, download app now - 99995
WAEC Past Questions, Objective & Theory, Study 100% offline, Download app now - 24709
WAEC offline past questions - with all answers and explanations in one app - Download for free
Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts