It is impossible for total utility to be _ when marginal utility is _.
The correct answer and explanation is:
The correct answer is:
It is impossible for total utility to be decreasing when marginal utility is positive.
Explanation (300 words):
In economics, total utility refers to the overall satisfaction or benefit a consumer derives from consuming a certain quantity of goods or services. Marginal utility is the additional satisfaction gained from consuming one more unit of a good or service.
The relationship between total utility and marginal utility is fundamental to understanding consumer behavior:
- When marginal utility is positive, each additional unit consumed adds to the total utility. This means total utility must be increasing because every new unit brings some additional satisfaction.
- When marginal utility is zero, consuming an extra unit does not increase total utility; total utility reaches its maximum point and remains constant.
- When marginal utility is negative, consuming an additional unit reduces total utility. This means total utility will be decreasing because the new unit actually causes dissatisfaction or reduces overall benefit.
Given this, it is impossible for total utility to be decreasing if marginal utility is still positive. If marginal utility is positive, total utility must be rising.
Example: Suppose you love eating slices of pizza. The first slice brings a lot of satisfaction (high marginal utility). The second slice still makes you happier, though a bit less than the first (positive marginal utility but smaller). Your total satisfaction increases with each slice. However, if you keep eating pizza beyond fullness, the next slice may make you feel sick (negative marginal utility), causing total utility to decrease.
This principle helps explain why consumers stop buying goods: when marginal utility falls to zero or negative, additional consumption no longer increases happiness or may reduce it. Firms and economists use this concept to understand demand and consumer choice.
In summary, total utility cannot be decreasing while marginal utility remains positive because positive marginal utility always adds to total utility.