What is the concept of marginal utility of natural resources?

Economics Marginal Utility Questions



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What is the concept of marginal utility of natural resources?

The concept of marginal utility of natural resources refers to the additional satisfaction or benefit that an individual or society derives from consuming or using an additional unit of a natural resource. It is based on the principle that as the quantity of a natural resource consumed increases, the marginal utility or value derived from each additional unit decreases. This concept is important in understanding the economic decision-making process regarding the allocation and conservation of natural resources.