Asked by Natalie Vande Linde on May 21, 2024
Verified
Economists identify the satisfaction a person derives from the consumption of goods and services as:
A) happiness.
B) usefulness.
C) utility.
D) pleasure.
Utility
In economics, it refers to the total satisfaction received from consuming a good or service.
Consumption
The act of using goods and services for personal needs or wants, including the process by which these goods and services are acquired.
Satisfaction
The feeling of pleasure or fulfillment that comes from meeting a desire, expectation, or goal.
- Absorb the theory of utility as the gratification procured from the engagement with goods and services.
Verified Answer
AN
Annie NavarroMay 23, 2024
Final Answer :
C
Explanation :
Economists refer to the satisfaction derived from the consumption of goods and services as utility. It is a term used to describe the amount of satisfaction or pleasure a person gets from consuming a particular good or service. Option A, happiness, is a broader term that encompasses various factors, including personal relationships, emotional well-being, and life satisfaction. Option B, usefulness, is a more practical term that refers to the extent to which a good or service fulfills a specific need or purpose. Option D, pleasure, is a related concept to utility but refers specifically to the positive emotional experience associated with consuming a good or service.
Learning Objectives
- Absorb the theory of utility as the gratification procured from the engagement with goods and services.