David buys pizza from the campus pizzeria. He calculates his total utility from pizza as​ follows:

Question

Slices of Pizza Total Utility
0 0
1 12
2 17
3 20
4 22

All of the following statements regarding​ David's utility from pizza are true except
Part 4
A.
​David's total utility is increasing at a decreasing rate.
B.
To increase his marginal utility from a slice of​ pizza, David must consume less.
C.
David experiences diminishing marginal utility.
D.
David experiences increasing marginal utility since his total utility is rising.

Answer 1

D. David experiences increasing marginal utility since his total utility is rising.

This statement is false. Although David's total utility is rising as he consumes more slices of pizza, his marginal utility is actually decreasing. This is evident from the fact that the increase in total utility from consuming additional slices decreases from 12 to 5 to 3 as he goes from 1 slice to 2 slices to 3 slices.