At the point of satiation, the value of an additional unit of consumption becomes ______.Multiple choice question.indeterminateinfinitezero

Break Down the Problem

1. Identify the concept being tested in the question: the value of additional consumption at the point of satiation.
2. Analyze the options provided: indeterminate, infinite, zero.

Relevant Concepts

• Satiation: The condition where a consumer has consumed enough of a good or service, and any additional consumption of that good yields no additional satisfaction.
• The law of diminishing marginal utility states that as a person consumes more units of a good, the additional satisfaction gained from consuming each subsequent unit diminishes.

Analysis and Detail

1. At the point of satiation, the consumer has reached a level of consumption where they do not desire more of the product.
2. Therefore, the utility (satisfaction) gained from consuming one more unit becomes zero, as the consumer is fully satisfied with the current amount consumed.

Verify and Summarize

• Since the question is about the value of an additional unit at satiation, it is clear that any added consumption does not increase satisfaction.
• Therefore, the only logical conclusion is that the value is zero.

Final Answer

At the point of satiation, the value of an additional unit of consumption becomes zero.