The law of diminishing marginal utility states that
A) the extra satisfaction from consuming a good decreases as more of a good is consumed, other things constant.
B) when the extra satisfaction from consuming a good becomes negative, total utility starts falling, other things constant.
C) eventually total utility falls as more of a good is consumed, other things constant.
D) the extra satisfaction from consuming a good increases slowly as more of a good is consumed, other things constant.
A
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Which of the following ideas of Adam Smith has religious overtones?
a. comparative advantage b. aggregate demand c. perfect competition d. rational expectations e. invisible hand
The economic burden of an excise tax
a. can usually be partially shifted from buyers onto sellers. b. equals the revenue from the tax. c. is less than the burden of an income tax that would raise the same revenue. d. is shared equally by buyers and sellers.