Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
The additional satisfaction gained from consuming one more unit of a good
B
The total utility derived from all units consumed
C
The overall cost of producing one more unit of a good
D
The fixed cost associated with production
Understanding the Answer
Let's break down why this is correct
Answer
Marginal benefit in economics refers to the additional satisfaction or value that a person receives from consuming one more unit of a good or service. It helps individuals and businesses decide whether it is worth it to buy or produce more of something. For example, if you are very thirsty and you drink a glass of water, the first glass provides you with a lot of satisfaction. However, if you drink a second glass, the extra benefit you get from that second glass might not be as much as the first one. Understanding marginal benefit allows people to make better choices about how to use their resources effectively.
Detailed Explanation
Marginal benefit is the extra happiness or satisfaction you get from using or consuming one more item. Other options are incorrect because This option confuses total happiness with extra happiness; This option talks about costs, not benefits.
Key Concepts
Marginal benefit
Topic
Marginal Analysis in Economics
Difficulty
easy level question
Cognitive Level
understand
Ready to Master More Topics?
Join thousands of students using Seekh's interactive learning platform to excel in their studies with personalized practice and detailed explanations.