Define the following terms:

  1. Value
  2. Price

Asked by Topperlearning User | 15th Apr, 2015, 02:15: PM

Expert Answer:

  1. Value actually means the utility of a commodity. However, in economics it is explained in two senses: value-in-use and value-in-exchange. Value-in-use means the satisfaction obtained from a commodity. Value-in-exchange means the amount of goods and services that can be obtained from the market in exchange of a particular thing.
  2. Price is defined as the amount of money required to buy a specific unit of a commodity. It does not depend on time and place.

Answered by  | 15th Apr, 2015, 04:15: PM

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