Utility is taken to be an absolute, accurate measurement of how desirable something is; in particular, it differs from money in three key ways.
First, desire for it is linear (generally in economics and game a person with a lot of money receives less utility from an additional amount of money than someone with very little money).
Second, when modeling a situation, utility should include all external (the happiness received from doing a good deed, for instance).
Third, different people’s utility is incomparable. It is meaningless to ask whether one person gets more utility from a situation than another person does. Utilities for a given person can be compared only to other utilities for that person.
|Date of creation||2013-03-22 12:51:59|
|Last modified on||2013-03-22 12:51:59|
|Last modified by||Henry (455)|