Marginal utility:
1 answer:
Answer:
a. is the change in total satisfaction derived from consuming one more unit of a good.
Explanation:
Marginal utility: It defines as changes in total satisfaction of consumers with one additional unit changes in the consumption of goods. It derives satisfaction level of consumer with the units of goods consumed, similarly usage of product changes with the number of the product we have in stock or purchased.
Formula; Marginal utility=
There are several types of marginal utility:
- Zero marginal utility.
- Positive marginal utility.
- Negative marginal utility.
- Increasing marginal utility.
- Diminishing marginal utility.
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The definition of market equilibrium states that the quantity of labor demanded by employers will equal the quantity supplied at an equilibrium wage.
<h3>What is an equilibrium?</h3>The point at which the forces of demand and supply are equal from both the sides, and there is an expression of a perfect competition in the market, such point is known as an equilibrium.
Hence, option B holds true regarding equilibrium.
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