Diminishing Marginal Utility and Diminishing Prices

Diminishing Marginal Utility
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Diminishing Marginal Utility
There exists a direct relationship between the concepts of diminishing marginal utility and that of diminishing prices. When the consumption of a particular product increases, there is a subsequent decrease in the utility of that product, and the consumer is only willing to pay less for more of the product in question (Schniederjans & Khalajhedayati, 2020). To exemplify the concept of diminishing marginal utility, an encounter of the same that I had recently will be described in proper detail below.
Recently, I was very hungry and decided to visit a food outlet for some pizza. At the outlet, a piece of pizza was being sold for $2.5. Since I was feeling so hungry, I decided to buy five slices of pizza. After consuming the first piece of pizza, I experienced a nice satiating effect. Conseque...