Answer to Question #206808 in Microeconomics for Raees Ahmad

Question

Differentiate between value and price and what are the determnenents of value?

Answer 1

What is the distinction between price and value? Price can be defined as the amount of money that must be paid in order to obtain something. And value refers to the utility or worth of a service commodity for an individual. The price of a product is the amount charged by the seller, which includes the cost and profit margin.