Tags » Marginal Utility

Of Fences and Diamonds

There’s at least one issue Bob and Tom Sawyer would have disagreed about. I got some e-mails and Skype-messages after my latest article about Bob. So for all of you that wonder: Yes, Bob is real, no invention and no exaggeration either. 871 more words


The law of diminishing Marginal Utility

Marginal Utility in Economics interests me and makes a whole lot of sense actually because the more you get of something the less valuable it becomes. 181 more words

Marginal Utility

Billions of Blue Blistering Barnacles. Or a lesson in the economics and wisdom of mid-career retirement

In a first in recent months, I took stock of my finances today, or rather I totted up how much I am (not) making in terms of money. 556 more words


The Concept of Marginal Utility is Overrated

In my last blog post, I examined what I called the “flaw of marginal cost.” I used the famous example of the price differences between diamonds and water to explain why pricing an item based on its abundance and ease of availability may not be ideal. 858 more words

The Real Problem with Inequality

Lots of people who talk about economic inequality will often list reasons why inequality is bad. Inequality causes crime. Inequality causes bad health outcomes. Inequality could lead to a revolution. 387 more words


Understanding "utility" in Economics

In Economics, utility is an abstract concept that explains how consumers (both individuals and markets) hope to get the maximum satisfaction when dealing with scarcity of goods and services. 213 more words


50 Shades of Marginal Utility

Marginal utility is an economics term that means the gain from the increase, or loss from a decrease in the consumption of that good or service.  565 more words