At every point on an individual's demand curve,the height to the demand curve measures:

Question

Quizplus · Accepted Answer

The height of an individual's demand curve measures the marginal benefit (or subjective value) that the consumer places on each unit of the good. It represents the maximum amount the consumer is willing to pay for that unit, which is equivalent to the marginal benefit. The quantity demanded and consumer surplus are both determined by the intersection of the demand curve and the market price, not the height of the individual's demand curve. Real income may influence the shape of the demand curve, but it is not directly measured by its height.

At Every Point on an Individual's Demand Curve,the Height to the Demand