The gap between total utility and total market value benefits the buyer, for she receives more utility than she pays for.

Question

Quizplus · Accepted Answer

Total utility refers to the total satisfaction or benefit received from a product or service, while the total market value refers to the price paid for it in the market. If the total utility is higher than the total market value, it means that the buyer is receiving more satisfaction or benefit than the price paid, which benefits the buyer. Therefore, the statement is true.

The Gap Between Total Utility and Total Market Value Benefits