Question

the demand curve is typically downward sloping because:
of the law of diminishing marginal utility.
consumers will not pay as much for a good with a low marginal utility as they will for a good with a high marginal utility.
consumers have limited budgets.
all other answers.
question 10
1 pts
because there are so few diamonds in the world, the consumption of diamonds
takes priority over the consumption of water.
takes place at a relatively high marginal utility.
takes place at a relatively low marginal utility.
is more important than the consumption of water.

Explanation:

1. For the first question, the law of diminishing marginal utility states that as consumption of a good increases, marginal utility decreases. Consumers are willing to pay less for goods with lower marginal utility. Also, limited budgets mean consumers must make choices based on marginal - utility per dollar. All these factors contribute to the downward - sloping demand curve.
2. For the second question, due to the scarcity of diamonds, each additional diamond provides a relatively high marginal utility compared to more abundant goods like water.

Answer:

Question 9: D. All other answers
Question 10: B. takes place at a relatively high marginal utility