Economics Marginal Utility Questions
The concept of marginal utility of public goods refers to the additional satisfaction or benefit that an individual derives from consuming an additional unit of a public good. Unlike private goods, public goods are non-excludable and non-rivalrous, meaning that they are available to all individuals and one person's consumption does not diminish the availability for others. Therefore, the marginal utility of public goods is not directly measurable for an individual, as their consumption does not directly affect the quantity available. Instead, it is typically measured through methods such as willingness to pay or willingness to accept compensation for the provision or removal of public goods.