The upcoming discussion will update you about the difference between total utility and marginal utility. Utility, in ordinary sense, means usefulness. But, in economics, it means want-satisfying power of a commodity or service — the power to satisfy a human want. Thus, a pen has utility to a teacher but not to an illiterate farmer. As Joan Robinson comment: "Utility [...]
The following points highlight the ten major causes of change of demand for a commodity. The causes are: 1. Changes in Taste and Preferences Habit and Fashion 2. Changes in the Income of the People 3. Changes in the Prices of Related Goods 4. Changes in Population and Number of Potential Buyers, 5. Changes in the Pattern of Income Distribution, [...]
This article will help you to learn about the difference between shift in demand curve and movement along the demand curve. Difference between Shift in Demand Curve and Movement along the Demand Curve Demand is the whole list of quantities that will be bought at various possible prices. Any movement of prices will lead to a different quantity demanded, but [...]