What is the term for a measure of added satisfaction from consuming one more unit of a good?

The term that refers to the added satisfaction gained from consuming one more unit of a good is known as marginal utility. This concept is fundamental in economics and helps to explain consumer behavior regarding how individuals make decisions about resource allocation, particularly in relation to their consumption of goods and services.

Marginal utility captures the incremental change in utility, or satisfaction, that results from an additional unit consumed. For instance, if someone eats a slice of pizza, the initial slice may provide a high level of satisfaction; however, each additional slice may provide less satisfaction compared to the first. This diminishing nature of marginal utility illustrates why individuals may stop consuming as they reach a point where the utility gained from an additional unit no longer outweighs the cost associated with it.

Average utility refers to the total satisfaction divided by the number of units consumed, while total utility refers to the overall satisfaction derived from all units consumed. Net utility is not a standard economic term; it may imply a consideration of total utility after costs, but it does not specifically address the incremental satisfaction associated with additional consumption.