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Question : Which of the statements below is correct?
1:Utility means desire-satisfying power.
2:The utility is not a function of desire intensity.
3:Consumption desire gives rise to utility.

Option 1: A only 

Option 2: B only

Option 3: A and C only

Option 4: B and C only


Team Careers360 16th Jan, 2024
Answer (1)
Team Careers360 24th Jan, 2024

Correct Answer: A and C only


Solution : A commodity's utility is its ability to satisfy desires. It is the actual or anticipated satisfaction obtained from the consumption of a commodity. It is a good ability to satisfy a desire.
The utility has no moral implications: it satisfies any desire, moral or immoral, right or wrong.
Hence option c is the correct answer.

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