2nd Chp Defn

Question 1

Total utility

Answer 1

“Total utility is the sum total of individual units derived from the consumption of a single unit of good”
Stock of commodity ^^ total utility ^
Tu=£MU

Question 2

Marginal utility

Answer 2

Marginal utility is the addition made total utility from every additional unit consumed
Mu=Tuṅ-tu(n̈-1)
Stock^^ mu ¡¡

Answer 3

According to Prof. Alfred Marshall, “Other things remaining constant, the additional benefit
which a person derives from a gven increase in his stock of a thing, diminishes with every
increase in the stock that he already has.
>
**In other words, marginal utility that any consumer derives from successive units of a particular
commodity goes on diminishing as his or her total consumption of that commodity increases. **
In short, the more of a thing you have, the less you want to have more of it