Asked by
Jared Jenkins
on Nov 04, 2024
Verified
The ________ states that things with the greatest value in use frequently have little or no value in exchange.
A) law of diminishing marginal utility
B) utility conundrum
C) diamond/water paradox
D) law of reverse exchange
Diamond/Water Paradox
A paradox highlighting the contradiction between the high value of items with little utility (diamonds) and the low value of items with great utility (water), illustrating the difference between total and marginal utility.
Value in Exchange
The worth that a product or service has in the marketplace, determined by what others are willing to give up in exchange for it.
- Acquire knowledge on the paradox of diamond and water and its connection to marginal value.
Verified Answer
BT
Learning Objectives
- Acquire knowledge on the paradox of diamond and water and its connection to marginal value.