Utility Analysis - 1

In law of diminishing marginal utility, Alfred Marshall assumes that marginal utility of money ___________.

• Increases

• Remains constant

• Decreases

• Rises and then falls

Utility differs from time to time: Relative concept :: Utility differs from person to person : _____.

• Marginal Concept

• Subjective Concept

• Objective Concept

As per the law of diminishing marginal utility, measurement of utility is assumed to be ________.

• Ordinal

• Cardinal

• Ordinal and Cardinal

• None of the above

MU of the commodity becomes negative when TU of a commodity is ________.

• Rising

• Constant

• Falling

• Zero

Utility of a computer : ______ :: Utility of woollen clothes : Place utility

• Knowledge Utility

• Service Utility

• Time utility

• Possession utility

Point of Satiety means _________

• TU is rising and MU is falling

• TU is falling and MU is negative

• TU is maximum and MU is zero

• MU is falling and TU is rising

Transport : Place utility :: Blood bank : ______

• Service utility

• Time utility

• Knowledge utility

Statement indicating consumer equilibrium:

• MU is greater than price

• MU is equal to price

• MU is less than price

• Price is less than one.

Aggregate of utilities: Total utility :: ______ : Marginal utility

• Subjective utility

• Additional utility

• Economic utility

Rationality: _____ :: Misers: Exception

• Limitation

• Criticism

• Assumption