1.Diminishing marginal utility refers to the fact that

Question

a. demand declines as income falls.
b. additional satisfaction declines as additional units of an item are consumed.
c. people have unlimited needs.
d. in equilibrium, supply equals demand.

2. Generally, the more substitutes there are for a good, the
a. more elastic the demand. c. more complements there are.
b. less valuable it is. d. less prices change.
1.A 2 A.

Answer 1

Is it b?

Answer 2

1. B, 2. A

Answer 3

1. B, 2. A

Correct