Post Utme Joseph Ayo Babalola University 2025 Economics Question 1

Practice objective / multiple choice question 1 from the 2025 Post Utme Joseph Ayo Babalola University Economics examination.

Post Utme Joseph Ayo Babalola University 2025 Economics Objective / Multiple Choice
Question 1 POST_UTME_JOSEPH_AYO_BABALOLA_UNIVERSITY • 2025 • ECONOMICS • objective

The concept of diminishing marginal utility is a fundamental principle in the theory of consumer behavior. Which of the following best describes this concept?

Answer Options

Correct Answer A. The law of diminishing marginal utility states that as the quantity of a good consumed increases, the marginal utility derived from each additional unit decreases.
B. The law of diminishing marginal utility states that as the quantity of a good consumed increases, the marginal utility derived from each additional unit remains cons\tant.
C. The law of diminishing marginal utility states that as the quantity of a good consumed increases, the marginal utility derived from each additional unit increases.
D. The law of diminishing marginal utility states that as the quantity of a good consumed increases, the marginal utility derived from each additional unit is unaffected.
Correct Answer
A
Correct Option:
The law of diminishing marginal utility states that as the quantity of a good consumed increases, the marginal utility derived from each additional unit decreases.

About This Question

This is Post Utme Joseph Ayo Babalola University 2025 Economics Question 1. It is one of the objective questions from the 2025 Post Utme Joseph Ayo Babalola University Economics examination.

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