The economic principle of satiation
is the effect whereby the more of
a good one possesses, the less one is willing to give up to get more of it. This effect is caused by
diminishing marginal utility
Marginal utility, in mainstream economics, describes the change in ''utility'' (pleasure or satisfaction resulting from the consumption) of one unit of a good or service. Marginal utility can be positive, negative, or zero. Negative marginal utilit ...
, the effect whereby the consumer gains less
utility
In economics, utility is a measure of a certain person's satisfaction from a certain state of the world. Over time, the term has been used with at least two meanings.
* In a normative context, utility refers to a goal or objective that we wish ...
per unit of a product the more units consumed.
For example, if someone buys a piece of technology or signs up to a social media site, they may enjoy using it; if they then buy more items of technology or sign up to more social media sites, they may enjoy using those items less (and so forth). It can continue to the point where the consumption of an item or group of items becomes a negative experience.
See also
*
Bliss point
References
Economics effects
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