Total Utility and Marginal Utility

Melanie still enjoys drinking jasmine green tea, but she receives less and less additional happiness with each tea she consumes. What is the term for what the statement above describes?

Diminishing marginal utility

What is meant by the phrase diminishing marginal utility?

Each additional unit of consumption yields less additional happiness than the previous unit

The table below shows the utility and gets from drinking cups of coffee in a day. which of the following best describes the pattern exhibited by Anna's utility from drinking coffee?

It is increasing at a decreasing rate until it hits a maximum value, and then begins to decrease.

If a good is free, when will a consumer stop wanting to buy the good?

Once the marginal utility equals zero

According to the law of diminishing marginal utility, which of the following is true?

The additional satisfaction received from consuming extra units of a good decreases as consumption of the good increases.

The table below shows Joey's, the total utility from the consumption of pears sneakers expressed in utils (u). How much additional utility will the 4th pair of shoes provide Joey?

15 utils

This graph shows Christine's marginal utility of yogurt in a week. What is Christine's total utility if she consumes four cartons of yogurt in a week? Total utility = utils

36

The table below shows Cassandra's marginal utility, expressed in utils (u), experience each time she visits Wild Waves Waterpark in a year. How many times will Cassandra visit Wild Waves if she is a pass offering her unlimited visits for free?

6

The table below shows Karina's marginal utility she experiences when she visits Wild Waves Water Park. How many visits provides Karina the highest total utility?

6

Enzo is deciding whether to buy a gym membership or to pay each time he visits the gym. The table below shows Enzo's expected total utility from visiting the gym in a month. Assume Enzo decides to purchase an unlimited gym membership that allows him to go as often as he wishes after he has paid his monthly membership fee. What is the maximum number of times Enzo will go to the gym?

7 times

Which of the following best describes what consumers face when trying to make themselves as best as possible?

Consumers face constraints, and must make optimal decisions based on those constraints

What is used to measure a consumer's entire satisfaction or happiness of a choice?

Total utility