Gossen Law I and II

1) Law of Gossen IBased on the patterns of human consumption in eating one type of goods in order to achieve maximum utility, Law of Gossen I was born raised by Hermann Heinrich Gossen. In essence, this law states:"If the fulfillment of a need for one type of goods carried out continuously, the utility enjoyed by consumers will be higher, but any additional consumption of one unit of goods will provide additional utilities that get smaller."The utility of drinking water can be expressed in figures. For example, when you first drink, your utility rates only reached a value of 6 utils. Likewise, when you drink a glass of water in both the value of your utility rate increases to 11util. Likewise, when you drink three glasses of water in your utility rate value increased again to 15 utils. Further, respectively for the four glasses of utility rate value to 18 utils, for the five glasses of utility rate value to 20 utils, for the sixth glass utility rate value is 21util, for the seventh glass is also the level of utility is 21 utils. The situation can be described in the table, make a table!
2) Law of Gossen IIUndeniably, human beings have needs that are endless. Humans have many needs, the needs are very important to the needs of the less or not important.Starting from the needs that are primary to tertiary needs. For that, H.H. Gossen suggests another theory, known as Gossen second law, which states:
"If consumers do fulfill the need for various kinds of goods with income levels and prices of certain goods, consumers will reach the level of consumption optimization when the ratio of marginal utility (MU) versus the same price for all the goods it consumes."

Sample Table that you create the outline of a consumer who maximizes the utility of one good (drinking water) is consumed. In everyday life, every consumer is always trying mancapai maximum utility of the various types of goods it consumes.If the price of each item is the same, utility will reach maximum when the marginal utility of each item is the same. For example, Fatima ate three types of goods that is X, Y, and Z. It turns out that both the quantity X, Y a third quantity, and quantity Z is the fifth, giving the same utility. So, Fatimah will achieve maximum utility when consuming two units of good X, the three units of good Y, and five units of Z. In summary, it can be formulated as follows:MUX = MUy = Muz

Info at a Glance ... ... ... ... ... ... ... ... ... ... ... ...Hermann Heinrich GossenGossen is the person who first introduced the additional utility law of diminishing returns (the law of diminishing marginal utility). Gossen lived during 1810-1858. In 1854, he wrote a scientific work entitled Enwicklung Gesetze der des Menschlichen Verkers und Regeln fuer die Darausfliessenden Menschliches Handeln. Scientific work was a forerunner of the ideas developed by experts Neo-Classical. Among his ideas, there are two basic ideas that stand out, which is known by two laws namely Law Gossen Gossen Gossen Law I and I