Saturday, August 4, 2018

Total utilty and marginal utility

Total utilty and marginal utilty

Total utility:-      Total utility means consumer
satisfaction received from consuming different units of commodity.

Marginal utility:-   marginal utility means additional utily gained from the  consumption of extra unit.


From the above table we can observe that for the first bread marginal  utility is 16 and total utility also 16 when another consumed there is decrease in marginal utility and increase in total utility and at certain stage marginal utilty becomes 0 and total utilty is maximum
     



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