Marginal Satisfaction/Marginal Utility
Marginal satisfaction, also known as marginal utility, is an economic concept that measures the benefit or satisfaction that a consumer receives from the purchase of an additional unit of a good or service. It is the additional satisfaction that a consumer receives from the purchase of an additional unit of a good or service. It is the additional satisfaction that a consumer receives from the purchase of an additional unit of a good or service. This concept is used to explain consumer behavior and to determine the optimal level of consumption of a good or service.
History of Marginal Satisfaction/Marginal Utility
The concept of marginal satisfaction was first introduced by the Austrian economist Carl Menger in the late 19th century. Menger argued that the value of a good or service is determined by the satisfaction that it provides to the consumer. He argued that the value of a good or service is determined by the satisfaction that it provides to the consumer. This concept was further developed by the British economist Alfred Marshall in the early 20th century. Marshall argued that the value of a good or service is determined by the marginal utility that it provides to the consumer. This concept has since been used to explain consumer behavior and to determine the optimal level of consumption of a good or service.
Comparison of Marginal Satisfaction/Marginal Utility
| Good/Service | Marginal Satisfaction/Marginal Utility |
|---|---|
| Food | 5 |
| Clothing | 3 |
| Entertainment | 7 |
Summary
In conclusion, marginal satisfaction, also known as marginal utility, is an economic concept that measures the benefit or satisfaction that a consumer receives from the purchase of an additional unit of a good or service. This concept was first introduced by the Austrian economist Carl Menger in the late 19th century and has since been used to explain consumer behavior and to determine the optimal level of consumption of a good or service. For more information about this term, you can visit websites such as Investopedia, The Balance, and Economics Online.
See Also
- Consumer Behavior
- Optimal Consumption
- Utility Maximization
- Marginal Cost
- Marginal Revenue
- Marginal Rate of Substitution
- Marginal Propensity to Consume
- Marginal Propensity to Save
- Marginal Revenue Product
- Marginal Rate of Technical Substitution
