Whenever an individual interacts or consumes an economic good, that individual acts in a way that demonstrates the order in which they value the use of that good. Understanding the Law of Diminishing Marginal Utility There are several laws of diminishing marginal units, each of which is different but tangentially related across the life cycle of a product.Marketers use the law of diminishing marginal utility because they want to keep marginal utility high for products that they sell.Salespeople often use different methodologies of soliciting sales as different customers have different reasons for buying a single quantity of an item.Demand curves are downward sloping in microeconomic models since each additional unit of a good or service is put toward a less valuable use.
The law of diminishing marginal utility explains that as a person consumes more of an item or product, the satisfaction (utility) they derive from the product wanes.
