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Alyssa enjoys eating gourmet Italian pizzas. The following graph contains information on Alyssa's utility from pizzas each week.


 A line graph.A line graph. The x-axis, labelled Pizza slices, ranges from 0 to 9. Dashed lines extend up from each increment. The y-axis, labelled Utility, ranges from 0 to 42 with dashed lines extending right from 12, 22, 30, 35, 39, 40, 41, and 42. A curve starts at (0, 0), intersects (1, 12) (2, 22) (3, 30) etc., peaks at (8, 42), and ends at (9.5, 39.5). All data is approximate. 

Which of the following statements best describes Alyssa's utility?

Multiple Choice
Alyssa's utility for pizzas is decreasing at an increasing rate.
Alyssa's utility for pizzas is increasing at an increasing rate.
Alyssa's utility for pizzas is decreasing at a decreasing rate.
Alyssa's utility for pizzas is increasing at a decreasing rate.

To determine which statement best describes Alyssa's utility for pizzas based on the graph, let's analyze the utility curve.

### **Key Observations from the Graph:**
1. **Initial Utility Increase:** As Alyssa consumes more slices of pizza, her utility (satisfaction) initially increases.
2. **Diminishing Marginal Utility:** After a certain point, the rate at which her utility increases begins to slow down, indicating diminishing marginal utility.
3. **Peak and Decline:** The utility peaks at 8 slices (where utility reaches 42) and then slightly declines if she consumes more than 8 slices.

### **Analyzing the Curve:**
- **Increasing at a Decreasing Rate:** The utility is increasing as Alyssa consumes more pizza, but the rate of increase is slowing down after each additional slice. This is typical of diminishing marginal utility, where the additional satisfaction from each extra unit of consumption decreases.

### **Conclusion:**
The best description of Alyssa's utility is:
- **D.** "Alyssa's utility for pizzas is increasing at a decreasing rate."

Would you like further details or have any additional questions?

Here are some related questions you might find interesting:
1. What is diminishing marginal utility?
2. How does the concept of utility relate to consumer choice?
3. What factors could lead to a decrease in total utility?
4. How can diminishing marginal utility be observed in real-life scenarios?
5. What is the significance of the point where utility peaks?
6. How does marginal utility affect consumer decision-making?
7. Can utility be negative? What does that mean?
8. What is the difference between total utility and marginal utility?

**Tip:** Understanding the concept of diminishing marginal utility is crucial when analyzing consumer behavior. It explains why consumers are willing to pay less for additional units of a good or service.

Explore Alyssa's utility from gourmet Italian pizzas through a detailed analysis of a utility graph. Understand how diminishing marginal utility affects consumer satisfaction and decision-making. Ideal for students studying utility theory in Grades 10-12.

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