Sentence examples for marginal utility in from inspiring English sources

We also find evidence of strongly diminishing marginal utility in policy scope.

Marginal utility, in economics, the additional satisfaction or benefit (utility) that a consumer derives from buying an additional unit of a commodity or service.

In an environment with uncertainty, the allocation of goods and time over the life cycle also serves the purpose of smoothing marginal utility in response to shocks.

It is straightforward to confirm that this is indeed an equilibrium: one plus the real interest rate equals the ratio of marginal utility in any two successive periods; because the nominal interest rate is positive individuals have an incentive to acquire only as much cash as they need, so all money will indeed be spent on consumption.

It reflects the idea of diminishing marginal utility in exactly the sense that I just said: that if you have a huge amount of bread the next loaf of bread is less valuable to you at the margin than the previous loaf of bread was.

Should we reduce ourselves to the level of marginal utility in the course of assisting the distant needy, as the theory would dictate, or can we spend large amounts of our income to support our ailing parents in decent nursing homes, as common morality would grant?

This can be generalized to any function with marginal utility linear in consumption: In the tax-economy set up above, in which agents have utility that leads to linear marginal utility and in which consumption only takes place at (t=1), the product (mathbf {p}_r^{*tau } R_mathrm{f}^*), i.e., the ratio (mathbf {p}_r^{*tau }/p_0^{*tau }), does not depend on the tax rate.

This survey will argue that the best way to deal with water is to price it more sensibly to reflect, so far as possible, the costs of providing it (including environmental costs), as well as its marginal utility.In the past few years water has become the stuff of international politics.

Furthermore, I find that utility functions that lead to marginal utility linear in consumption also lead to price equality.

I treat the case of marginal utility linear in consumption, i.e., marginal utility of the form (u_i'(c_i)=a_i + b_i c_i).

It follows that utility is strictly increasing and marginal utility decreasing in all arguments: frac{partial U}{partial C},frac{partial U}{partial L},frac{partial U}{partial S}>0;quadfrac{partial^{2}U}{partial C^{2}},frac{partial^{2}U}{partial L^{2}},frac{partial^{2}U}{partial S}>0}}leq0 (2).