Economics of Utility

Example of Marginal and Total Utility for Books

Quantity (Q) Total Utility Marginal Utility
1 30 30
2 58 28
3 78 20
4 92 15
5 100 8

MUa = Pa
-----     ----
MUb = Pb

see also: Marginal utility theory

Why Do Diamonds Cost More than Water?

 

Essays and Revision Notes on Supply and Demand

Elasticity