What is marginal utility in economics?
Marginal utility is one type of utility, a concept in economics that represents the value of a particular good or service–the advantage a person gains by using or consuming it.UtilityUtility is an abstract concept and cannot be concretely measured, though estimated numbers are assigned to various types of utility to make calculation possible. A person’s total utility is the summed utility of everything he has consumed, and thus generally increases as his level of consumption increases.Marginal UtilityMarginal utility is the additional utility gained from each additional unit of consumption of a particular item. As a person repeatedly consumes a single good or service, the utility she gains from it can decrease over time.The Chocolate ExampleA common example of marginal utility uses chocolate bars: As a person becomes full (or sick of chocolate), each subsequent chocolate bar will deliver less satisfaction than the one before it. The marginal utility of the chocolate thus decreases as
