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Which best describes the relationship between total utility and marginal utility?

A. Total utility reflects the changes in marginal utility.
B. Marginal utility reflects the changes in total utility.
C. Total utility is negative when marginal utility is positive.
D. Marginal utility reaches zero when total utility is at a minimum.

1 Answer

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Final answer:

Marginal utility reflects the changes in total utility, with total utility increasing at a decreasing rate as more units of a good are consumed, demonstrating diminishing marginal utility.

Step-by-step explanation:

The relationship between total utility and marginal utility is such that the marginal utility reflects changes in total utility. As a consumer enjoys more units of a good, the total utility increases, but usually at a decreasing rate, which is known as diminishing marginal utility. However, at some point, consuming additional goods can yield zero or even negative marginal utility, indicating that consuming more no longer contributes to overall satisfaction.

Therefore, the correct answer is: B. Marginal utility reflects the changes in total utility. Every additional unit consumed provides additional, albeit decreasing, satisfaction. This decrease is marginal utility, and it is this concept that is shown cumulatively in the total utility measure.

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