Discuss the relationship between total utility and marginal utility, using a hypothetical schedule.


Total utility is the total sum of the utilities obtained by the consumer from different units of a commodity whereas Marginal utility is the addition made to total utility by having an additional unit of the commodity.


MUN = TUN —TUN-1



We can see in the table that as the total utilities increase the marginal utility decreases but when it is at maximum MU is 0. When TU decreases Mu is negative.


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