Assignment:
Application: Marginal Utility and Consumption
Think about something that you enjoy, such as a particular type of music or food. No matter how strong your passion, there is probably a limit as to how much of it you can enjoy at a time.
Say that you are particularly fond of chocolate and can eat a lot of it in one sitting. But what happens when you eat too much of it? In economic terms, there is a change that occurs as you move from one consumption quantity to another, known as marginal utility. In this example, the marginal utility decreases.
Give an example of a product you consume for which your marginal utility increases with the amount of your consumption. Explain your example and how the economic principles apply.
The length of each response should be around 250 words, with a minimum of 150 words.