The Utilitarian Principle,or Principle of Utility,is Also Called The

question 18

Multiple Choice

The utilitarian principle,or principle of utility,is also called the:

• A)principle of minimal happiness.
• B)principle of diminishing returns.
• C)hedonistic formula.
• D)greatest happiness principle.

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Definitions:

Marginal Revenue Product

The additional revenue generated from using one more unit of a resource.

Additional Revenue

The increase in income received from selling one more unit of a product or service.

Additional Unit

The next unit of production, referring to the increase in quantity by one unit.

Marginal Revenue Product

The additional revenue generated from using one more unit of a factor of production, such as labor or capital.