ch10 - Name: _ Date: _ ch10 1. The relationship between an...

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Name: __________________________ Date: _____________ ch10 1. The relationship between an individual's consumption bundle and his or her utility is called a: A) demand function. B) production function. C) consumption function. D) utility function. 2. The principle of diminishing marginal utility states that as an individual consumes more of a good: A) the total utility obtained will eventually fall. B) the total utility obtained will eventually become negative. C) the addition to total utility obtained from the n th unit of the good will be less than that obtained from the ( n – 1) unit of the good. D) the marginal utility will eventually become negative. 3. Assume that the marginal utilities for the first three units of a good consumed are 200, 150, and 125, respectively. The total utility for the first unit is: A) 125. B) 150. C) 200. D) 350. Use the following to answer questions 4-5: Page 1
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4. (Table: Exercise and Total Utility) The table shows a consumer's total utility from consuming hours of exercise at the gym. Given this information, what can be said about
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ch10 - Name: _ Date: _ ch10 1. The relationship between an...

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