Does the fact that people go to watch the same movie again and again contradict the Law of Diminishing Marginal Utility? Explain by giving reasons.
2007-03-26 10:37:13 · 3 answers · asked by QDPie 2 in Social Science ➔ Economics
No. They are still getting less marginal utility at each viewing. Its just as the person above said, they still go see it because marginal benefit exceeds marginal cost.
They will stop seeing it eventually, which is when marginal cost exceeds marginal benefit
2007-03-26 20:37:46 · answer #1 · answered by Anonymous · 0⤊ 0⤋
No - people will continue to go to the same movie as long as marginal benefit excedes marginal cost. There is no reason to believe this will automatically happen after one viewing.
2007-03-26 10:41:06 · answer #2 · answered by Sageandscholar 7 · 0⤊ 0⤋
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2016-12-15 09:29:10 · answer #3 · answered by kulpa 4 · 0⤊ 0⤋