The economic utility is directly proportional to demand.
The power of property of a comodity to satisfy human needs.
For example bread has the power to satisfy hunger as well as water has the power to satisfy thirst.
Utility can also be defined as the want satisfying power of a comodity, but it is not absolute, it is relative.
The utility derived bs a person from a comodity depends on his or her intensity of desire for that comodity.
The greater the need the greater the utility is.
But from the other hand we can say non -smokers does not derive a utility from cigarettes or a non veg can derive utility from meat and non veg stuffs.
Economics when applied to real life sounds beautiful. this blog is for those students who are discovering the different facets of economics applications and want to share their discoveries.
Saturday, August 4, 2018
Utility
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