Answer:
The marginal utility of the sixth wing is 20 utils (136 - 116).
Step-by-step explanation:
a) Calculation of Marginal Utility from the buffalo wings case:
No. of wings Total utils Marginal Utility
4th 80
5th 116 36 (116 - 80)
6th 136 20 (136 - 116)
7th 150 14 (150 - 136)
b) In economics, utility is the satisfaction or benefit derived by consuming a product. Marginal utility is the quantification of the added satisfaction or benefit a consumer derives from consuming additional units of the goods or services. Economists use the concept to determine how much of an item consumers are willing to purchase (effective demand).
It can be seen that after consuming the first product, the marginal utility of a good or service continues to reduce until it gets to a point where you can identify that no more utility is being derived by the consumer from continued consumption of the particular good or service. That is, there is a point at which the marginal utility levels out to zero and even becomes negative.