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Marginal utility of a particular commodity at the point of saturation is :
Zero
Unity
Greater than unity
less than unity
- Option 1: Zero
- Marginal utility is the additional satisfaction from consuming one more unit of a good.
- At the saturation point, consuming more does not increase total satisfaction.
- The additional satisfaction (marginal utility) becomes zero.
- Correct Answer
- Option 2: Unity
- Unity means the marginal utility is one.
- This implies some additional satisfaction from consumption, not correct at saturation.
- Option 3: Greater than unity
- Greater than unity implies more than one unit of satisfaction.
- This suggests increasing satisfaction, not relevant at saturation.
- Option 4: Less than unity
- Less than unity implies a positive but small increase.
- Still implies some additional satisfaction, which is not the case at saturation.
By: santosh ProfileResourcesReport error
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