Author Question: If marginal utility is positive but diminishing, then total utility must be ________ as consumption ... (Read 215 times)

haleyc112 · **on:** Jun 29, 2018

If marginal utility is positive but diminishing, then total utility must be ________ as consumption of the good increases.

A) decreasing
B) positive and rising at an increasing rate
C) positive and rising at a decreasing rate
D) positive and rising at any rate

Question 2

Suppose that Dave has 200 to spend per week and he buys only magazines and pizza. The price of a pizza is 10 and the price of a magazine is 5. If Dave buys 15 pizza each week, what is the maximum number of magazines can he buy?

A) 40
B) 20
C) 10
D) 200