Indifference Curve

  Marshall’s utility concept causes enormous difficulty in the analysis of demand. This concept assumes too much namely a utility is measurable, it is a subjective phenomenon, marginal utility of money is constant and utility from one commodity depends on its own consumption. Modern economists like Prof. J. R. Hicks and R. G. Allen attacked […]

Utility

Utility It is defined as the power of a commodity or service to satisfy a human want It is a subject phenomenon varies from person to person. The utility depends on the mental made up of the consumer. It does not carry moral or legal significance. For example liquor is harmful for health yet it […]