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If Marginal Utility Is Diminishing, the Marginal Utility Curve Is

question 33

Multiple Choice

If marginal utility is diminishing, the marginal utility curve is _____, since each additional unit of the good consumed yields _____ satisfaction.


Definitions:

Savings Account

A bank account where money can be deposited to earn interest over time.

Deposited

The act of placing money into a financial institution or account for safekeeping or to earn interest.

Present Amount

The present value of an anticipated amount of money or series of cash flows, assessed by a predetermined rate of return.

Interest Rate

The percentage at which interest is paid by a borrower for the use of money that they borrow from a lender.

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