It is possible to marginal utility to be negetive and totall utility is positive? Why or why not?
Answers
Answered by
0
Answer:
Total utility is the sum of all marginal utilities derived from consumption of each additional unit of a commodity. When marginal utility becomes negative the addition to total utility will be negative, thus, leading to diminishing total utility.
Answered by
1
Answer:
Marginal utility can be negative even when total utility is positive
Explanation:
let's say in the first round your utility is 5 and in the second round it's 2 so 2-5=-3 which is marginal utility and total utility is 5+2=7
Similar questions