What is the concept of marginal utility of health?

Economics Marginal Utility Questions



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What is the concept of marginal utility of health?

The concept of marginal utility of health refers to the additional satisfaction or benefit that an individual derives from consuming or obtaining an additional unit of health. It is based on the principle that as individuals consume more health-related goods or services, the marginal utility or value they derive from each additional unit of health decreases. This concept is important in understanding how individuals make decisions regarding their healthcare choices and the trade-offs they face in allocating their resources towards improving their health.