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When marginal utility is equal to total utility?

When marginal utility is equal to total utility?

The marginal utility equals total utility only for the first unit consumed. When the consumer does not consume any units, the total utility is zero….

When mu is equal to zero Tu is?

When the Mu us zero, the TU is maximum.

When marginal utility is still positive total utility?

When Marginal Utility is positive, Total Utility Decreases. When we say that the total utility is increasing at a diminishing rate, we mean that amount of change in total utility is decreasing with the consumption of every extra unit which is nothing but marginal utility.

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What is the relation between total utility and marginal utility class 11th?

Total utility is the sum of all utilities derived by a consumer form all units of commodity consumed by him. Whereas Marginal utility is the addition to the total utility derived by consuming an extra or additional unit of a commodity.

When Tu is maximum MU is zero Agree or disagree?

Marginal Utility (MU) TU increases at a diminishing rate and MU goes on diminishing with additional consumption. After consumption of 4th unit, TU reaches its maximum and remains constant even after consumption of 5th unit whereas MU becomes zero at that point. This is called the point of satiety. (TU highest, MU = 0)

When Tu increases MU will be?

TU increases with an increase in consumption of a commodity as long as MU is positive. In this phase, TU increases but a diminishing rate as MU from each successive unit tends to diminish. 2. When TU reaches its maximum, MU becomes zero.

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What is the difference between marginal utility and total utility?

The main difference between total and marginal utility is that total utility refers to the total satisfaction received by the consumer from consuming different units of a commodity while the marginal utility, connotes the additional utility derived from the consumption of the extra unit of a commodity.

Is it possible for marginal utility to be negative while total utility is positive?

Yes, it is possible for the marginal utility to be negative while the total utility is positive.

When the marginal utility is equal to zero What will the total utility be * 1 point a maximum b laws of return C Minimum D None of the above?

When marginal utility is zero, total utility is maximum. Hence, the correct answer is option maximum.

Who explain the relation between total utility and marginal utility?

So long as total utility is increasing, marginal utility is decreasing up to the 4th unit. When total utility is maximum at the 5th unit, marginal utility is zero. It is the point of satiety for the consumer. When total utility is decreasing, marginal utility is negative (the 6th and the 7th units).