Law of diminishing marginal utility states

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The law of diminishing marginal utility (LODMU) states that:

as more and more of a good is consumed, beyond a point marginal utility will increase at a decreasing rate

the quantity of a good demanded will rise as price is lowered, holding all other factors constant

the demand for a good will rise as price is lowered, holding all other factors constant

if an individual increases consumption of one good, then consumption of other goods must decrease because the individual has a finite income and goods have positive prices

none of the above options are correct

Reference no: EM131073961

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