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Assume first that each individual gets some additional happiness from each additional dollar that comes his or her way. Assume also that the increase in

Assume first that each individual gets some additional happiness from each additional dollar that comes his or her way. Assume also that the increase in happiness declines as the person gets richer. So your 101st dollar gives you more added happiness than does your 201st, which adds more than your 1,001st. This is called "declining marginal utility.)

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