Post Utme Noun 2017 Economics Question 33

Practice objective / multiple choice question 33 from the 2017 Post Utme Noun Economics examination.

Post Utme Noun 2017 Economics Objective / Multiple Choice
Question 33 POST_UTME_NOUN • 2017 • ECONOMICS • objective

The concept of utility is central to the study of consumer behavior. Which of the following statements best describes the law of diminishing marginal utility?

Answer Options

Correct Answer A. As the quantity of a commodity consumed increases, the marginal utility derived from each additional unit decreases.
B. As the quantity of a commodity consumed increases, the marginal utility derived from each additional unit remains cons\tant.
C. As the quantity of a commodity consumed increases, the marginal utility derived from each additional unit increases.
D. The law of diminishing marginal utility states that the marginal utility derived from each additional unit of a commodity is directly related to its price.
Correct Answer
A
Correct Option:
As the quantity of a commodity consumed increases, the marginal utility derived from each additional unit decreases.

About This Question

This is Post Utme Noun 2017 Economics Question 33. It is one of the objective questions from the 2017 Post Utme Noun Economics examination.

View More Post Utme Noun 2017 Economics Questions More Post Utme Noun Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support