With aid of a diagram, Use the concept of diminishing marginal utility to arrive at a downward sloping demand curve.

Give an explanation as to how it will give rise to the downward sloping demand curve.

 

With diminishing marginal utility with an increase of the amount of the good the amount of satisfaction will decrease. So the more we get the less happy we are. This can happen with things like sweets, we get one ice cream and we are very happy but as we add more ice creams we get less happy because one or two was enough and it becomes too much. So because of this theory after the first time we get that item we are willing to pay less and less for that same item so it ultimately looks just like a downward sloping demand curve.

Even as price decreases we are not willing to buy more because we have already had enough.

Step-by-step explanation

In the chart below we can see as the quantity increases the amount we are willing to pay goes down. This works for diminishing marginal utility and a downward sloping demand curve.

Please see the attached file for the complete solution