What is the relation between total utility and marginal utility?
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1
Answer:
TU=summission of MU
MU=change in TU/change in quantity
MUn=TU(n) - TU(n-1)
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The relationship between total and marginal utility :-
• TU and MU both starts from same point .
• As TU increases , MU falls by consuming every additional unit of good or service .
• When TU at its maximum level , MU is Zero .
• When TU starting decline , at the same time MU tends to negative .
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