What if José thinks about going beyond R to point S? Giving up the second T-shirt means a marginal utility loss

of 21, and the marginal utility gain from the fifth and sixth movies would combine to make a marginal utility

gain of 23, so José prefers point S to R.

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6.1 • Consumption Choices 143

However, if José seeks to go beyond point S to point T, he finds that the loss of marginal utility from giving up

the first T-shirt is 22, while the marginal utility gain from the last two movies is only a total of 19. If José were

to choose point T, his utility would fall to 100. Through these stages of thinking about marginal tradeoffs, José

again concludes that S, with one T-shirt and six movies, is the choice that will provide him with the highest

level of total utility. This step-by-step approach will reach the same conclusion regardless of José’s starting

point.
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