The value of a good or service is measured by _______________.

Question

Quizplus · Accepted Answer

The value of a good or service can be measured by the willingness to pay, which is the amount a consumer is willing to spend on a product or service. It can also be measured by the sacrifice a person experiences in terms of other goods, which refers to the opportunity cost of choosing one product over another. Additionally, the sacrifice a consumer experiences in generalized purchasing power, which refers to the overall value of a currency or purchasing power for consumers, can also influence the value of a good or service. Therefore, all three options (willingness to pay, sacrifice, and generalized purchasing power) are factors that contribute to the value of a good or service.

The Value of a Good or Service Is Measured by _______________