Utility being an introspective phenomenon cannot be directly measured in a precise manner. Economist however adopted an indirect measurement of utility in terms of ’price’ a consumer is willing to pay for a given commodity. When a consumer is willing to pay a high price for a commodity, it means there is high utility estimated by him for that commodity and vice versa. But, this is just a rough indication it suggests no precise and proportionate measurement of utility.
Note: This is published for the internal use (of St. Philomena's College students) only and hence requires verification.
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