Source: https://mises.org/library/diminishing-marginal-utility-its-law

https://myjourneytomillions.com/articles/the-law-of-diminishing-marginal-utility-and-debt-repayment/

1/ The value of diamonds is determined at the margin.

True

False

2/ Determining value at the margin means one more diamond compared to one more unit of water.

True

False

3/ A diamond is so expensive while water is not because water is super-abundant while diamonds are not.

True

False

4/ According to the author, the law of diminishing marginal utility is a fundamental tenet of economics, and it is every bit as much a scientific law as:

the law of motion.

the law of logic.

the law of momentum.

the law of gravity.

5/ What happens to the marginal utility of the author's wife's consumption of each slice of pizza?

Her marginal utility with each subsequent slice of pizza is less than the previous slice.

Her marginal utility with each subsequent slice of pizza is the same than the previous slice.

Her marginal utility with each subsequent slice of pizza is more than the previous slice.

She has no marginal utility.

6/ Which of the following statements is true?

Her total utility is decreasing as long as her marginal utility is positive.

Her total utility is increasing as long as her marginal utility is negative.

Her total utility is increasing as long as her marginal utility is positive.

Her total utility is decreasing as long as her marginal utility is negative.

7/ Marginal utility doesn't apply to debt repayment because debt repayment is not consumption.

True

False