What Is Total Utility?
Total utility refers to the total satisfaction obtained by consuming a certain amount of a certain kind of goods. The total utility depends on the level of individual consumption, that is, the more goods and labor consumed, the greater the total utility.
Total utility
Right!
- Total utility refers to the consumption of a certain amount of a certain
- The difference between total utility and marginal utility:
- Marginal utility is the derivative of the total utility function, and total utility is the integral of the marginal utility function. The marginal utility of a certain consumption can be expressed by the slope of the total utility curve at that consumption; the total utility of the consumption can be expressed by the area enclosed by its marginal utility curve and two axes. As far as total utility and marginal utility are concerned, only one is known, and the other is known.
- The total utility curve increases at a decreasing speed, concave toward the horizontal axis, with a positive slope; the marginal utility curve decreases at a decreasing speed, convex to the horizontal axis, with a negative slope.
- When the marginal utility is positive, the total utility is increasing; when the marginal utility is 0, the total utility reaches the optimal state; when the marginal utility is negative, the total utility is decreasing.
- English (total utility)
- Total utility refers to the total amount of utility that consumers get from consuming goods or services, which is recorded as TU.
- The total utility of each unit of goods or services consumed by a consumer over a period of time depends on the total amount of goods consumed.
- English definition: Total Utility (TU) is the total satisfaction a person gains from all those units of a good consumed within a set period.