What happens when marginal utility is zero?

When Marginal Utility is zero, Total Utility is maximum. It is based in the law of diminishing marginal utility which says ‘as more and more units of a good are consumed, MU i.e level of satisfaction derived from each successive unit goes on falling because desire for that commodity tend to fall.

When the marginal utility is zero total utility is also zero?

When the marginal utility is the maximum, the total utility will be zero.

Is at a maximum when marginal utility is zero?

Total utility is maximum when marginal utility is zero. It is based in the law of diminishing marginal utility which says ‘as more and more units of a good are consumed, MU i.e level of satisfaction derived from each successive unit goes on falling because desire for that commodity tend to fall.

What happens to total utility when marginal utility is zero and negative?

Positive marginal utility occurs when the consumption of an additional item increases the total utility, while negative marginal utility occurs when the consumption of an additional item decreases the total utility. Zero marginal utility is when having more of an item brings no extra measure of satisfaction.

When marginal utility is zero total utility is maximum and that point is called?

This is called the point of satiety. (TU highest, MU = 0)

When marginal utility reaches zero the total utility will be Mcq?

When marginal utility reaches zero, the total utility will be Maximum.

When marginal utility is maximum?

When total utility is maximum marginal utility is zero.

What happens to marginal utility when the total utility is maximum?

When total utility becomes maximum, then marginal utility will be Zero. It is based in the law of diminishing marginal utility which says ‘as more and more units of a good are consumed, MU i.e level of satisfaction derived from each successive unit goes on falling because desire for that commodity tend to fall.

When total utility is maximum marginal utility is negative?

When marginal utility is zero, the consumer derives no further utility from consumption and any further consumption will lead to negative marginal utility. Thus, the total utility is maximum at this point and any further consumption of that commodity will lead to a diminishing total utility.

What happens to marginal utility when total utility is maximum?

Total utility is maximum when marginal utility starts declining.

When total utility reaches a maximum the marginal utility is?

zero
Along the utility curve, when total utility reaches its maximum, marginal utility is zero.

When marginal utility is negative total utility is zero diminishing maximum minimum?