Economists believe that:

A. Utility is impersonal and objective.

B. Utility is personal and subjective.

C.Utility can be measured like temperature.

answer

watching

views

For unlimited access to Homework Help, a Homework+ subscription is required.

You have 0 free answers left.
Get unlimited access to 3.8 million step-by-step answers.

Get unlimited access

Already have an account? Log in

Romarie Khazandra MarijuanLv10

6 Jan 2021

Unlock all answers

Get 1 free homework help answer.

Already have an account? Log in

Related questions

Explain how economists can maintain that value is subjective, despite our measuring the value of different decisions with utility functions that produce objective numbers.

amethystlocust635

Please explain each answers with clear explanations, thank you

1) The concept of utility is:

A) objective so that psychologists can measure utility and compare one person's utility with that of another person.

B) subjective so there can be no true measurement ofsomeone's utility.

C) objective so that devices can be developed that would measure a person's utility

D) subjective so measurement of someone's utility must be done scientifically.

2) If Cy purchases more than one gallon of gas, then his consumer surplus is:

A) the difference between what he would be willing to pay and what he does pay.

B) the sum of what he is willing to pay and what he does pay.

C) what he does pay minus what he is willing to pay.

D) value of the last gallon purchased.

3) Marginal utility analysis is unrelated to the demand curve.

A) True

B) False

How can we use utility functions, which have actual numbers that can be measured and compared, to model preferences and still say with a straight face that preferences are subjective? Hint: what does it mean for a utility function to be ordinal or cardinal? Why can multiple utility functions describe the same preferences?