What is the concept of marginal utility of environmental resources?

Economics Marginal Utility Questions



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What is the concept of marginal utility of environmental resources?

The concept of marginal utility of environmental resources refers to the additional satisfaction or benefit that an individual derives from consuming or using one more unit of an environmental resource. It is based on the principle that as individuals consume or use more of a particular environmental resource, the marginal utility or satisfaction they derive from each additional unit tends to decrease. This concept is important in understanding how individuals make decisions regarding the allocation of environmental resources and the trade-offs they face in terms of the benefits and costs associated with their use.