As More of a Good Is Consumed,total Utility

question 47

Multiple Choice

As more of a good is consumed,total utility

• A) increases.
• B) decreases.
• C) remains the same.
• D) becomes negative and then turns positive.
• E) might change but whether or not it changes depends on why more of the good is consumed.

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Definitions:

Fair Market Value

The price at which property would sell under usual market conditions, reflecting its value when both buyer and seller are reasonably knowledgeable and willing.

Self-dealing

Conduct by a fiduciary or a person in a position of trust that involves taking advantage of their position for personal gain at the expense of those to whom they owe a duty.

Agent

An individual or entity authorized to act on behalf of another person or entity, known as the principal, in transactions or legal matters.

Fiduciary Duty

The legal obligation of one party to act in the best interest of another party, such as the responsibility of a trustee to safeguard the interests of the beneficiaries.