The Principle of Diminishing Marginal Utility Implies

question 28

Multiple Choice

The principle of diminishing marginal utility implies:

• A)indifference curves are concave.
• B)indifference curves are convex.
• C)indifference curves are straight lines.
• D)as your consumption level increases, the marginal utility received from consumption of an additional unit increases.

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Definitions:

Employee Recognition Programs

Schemes designed to acknowledge and reward employees for their performance and contributions to the organization.

Health Insurance

A form of insurance coverage that pays for medical and surgical expenses incurred by the insured, often offered by employers as part of benefits packages.

CPI

Stands for Consumer Price Index, a measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care, used to estimate the economy's inflation rate.

Real Wages

Wage increases larger than rises in the consumer price index; that is, the real earning power of wages