1. According to the law of diminishing marginal utility, which of the following choices is true? O When marginal utility is decreasing, total utility will always decrease. O Total satisfaction of a good or service decreases as more units are consumed. O The additional satisfaction received from consuming extra units of a good or service decreases as consumption of the good or service increases. O The additional satisfaction received from consuming extra units of a good or service increases as consumption of the good or service increases. 2. If a tax proportional to carbon emissions was passed, what would happen to the market for gasoline? Price would increase and quantity demanded would fall O Price would increase and quantity demanded would rise O Price would decrease and the quantity demanded would fall O Price would decrease and the quantity demanded would rise 3. Which of the following could result in simultaneous increases in unemployment and inflation? O An increase in aggregate demand A decrease in aggregate demand O An increase in aggregate supply O A decrease in aggregate supply