Use app×
Join Bloom Tuition
One on One Online Tuition
JEE MAIN 2025 Foundation Course
NEET 2025 Foundation Course
CLASS 12 FOUNDATION COURSE
CLASS 10 FOUNDATION COURSE
CLASS 9 FOUNDATION COURSE
CLASS 8 FOUNDATION COURSE
0 votes
330 views
in Consumers Equilibrium by (63.7k points)

What are the two demerits of equimarginal utility?

1 Answer

+1 vote
by (63.4k points)
selected by
 
Best answer

(i) It has been said that it is not possible to measure the consumer’s cardinal utility. There is no specific unit to measure the utility along with the state of emotion, it is cardinally immeasurable. It is because of the immeasurability of utility in cardinal terms that consumer’s behaviour has been explained with the help of ordinal utility by J.R. Hicks and R.G.D. Allen.

(ii) Goods are often available in large indivisible units. Because the goods are indivisible, it is not possible to equate the marginal utility of money spent on them.

Welcome to Sarthaks eConnect: A unique platform where students can interact with teachers/experts/students to get solutions to their queries. Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students.

Categories

...