Answer :
Answer:
Marginal Benefit : B. the additional benefit from consuming one more unit.
Demand Curve = Marginal Benefit Curve as : E. It shows the willingness of consumers to purchase a product at different prices.
Explanation:
Benefit is the rise in satisfaction from consumption. Marginal Benefit is the additional benefit from consuming an additional unit. So, it is addition to satisfaction with an additional consumption i.e Marginal Utility (MU).
Consumer purchases a good only if : Its marginal benefit i.e MU ≥ its marginal cost i,e price. As MU < Price implies additional benefit < additional cost, & consumer will not consume at this point.
So, Marginal Utility/ Marginal Benefit reflects consumer's willingness to pay for a good's consumption. Hence, Demand Curve is also called Marginal Benefit Curve.