Term
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Definition
| the total satisfaction you derive from consumption |
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Term
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Definition
| the change in your total utility from a one-unit change in your consumption of a good |
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Term
| law of diminishing marginal utility |
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Definition
| the more of a good a person consuers per period, the smaller the increase in total utility from consuming one more unit, other things constant |
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Term
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Definition
| the condition in which an individual consumers budget is spent on each good yields the same marginal utility |
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Term
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Definition
| the difference between the most consumer would pay for a given quantity of a good and what the consumer actually pays |
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Term
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Definition
| the dollar value of the marginal utility dierived form consuming each additional unit of a good |
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