Question

Match the following items in Group A to that in Group B and choose the correctly matched pair.

Group A	Group B
(1) Assumption of Law of diminishing marginal utility.	(a) Homogeneous units of commodity
(2) Assumption of Law of equimarginal utility	(b) Continuous consumption without any time lag.
(3) Assumption of Law of diminishing total utility.	(c) Standard units of commodity
(4) Assumptions of Law of diminishing utility	(d) No change in tastes, preferences, or income of the consumer.

पर्याय

• 1 - (a)

• 2 - (b)

• 3 - (c)

• 4 - (d)

Answer 1

1 - (a)

Explanation:

The following are some of the law of diminishing marginal utility's assumptions:

1. It is assumed that utility can be measured and a consumer can express his satisfaction in quantitaive terms such as 1, 2, 3 ... etc.
2. Continous consumption 
3. Monetary measurement of utility.
4. Consumption of reasonable quantity.
5. Rational consumer.
6. No change in quantity.
7. Independent utilities.
8. MU of money remains constant.
9. commodities should be Nomogencous in nature.
10. Fixed income and price of the goods.