Question

State with reason whether you agree or disagree with the following statement:

The concept of total utility and marginal utility is the same.

Answer 1

I disagree with this statement.

Reason:

1. Total Utility (TU): Total utility refers to the aggregate of utility derived by the consumer from all units of a commodity consumed. It is an aggregate of utilities from all successive units of a commodity consumed.
2. Marginal Utility (MU): Marginal utility refers to the additional utility derived by a consumer from an additional unit of a commodity consumed. In other words, it is the addition made by the last unit of a commodity consumed.