The utility theorem of Bentham was the way formalizing and developing a scientific background for the ideas of economics. This theory enabled the economist to transform their ideas to the formulas on which they could make calculations, and develop theoretical extensions. The utility theorem formulized total utility and marginal utility. Total utility is the sum of the complete satisfaction from consuming goods. Marginal utility is the change in total utility against the change in the used amount of goods. This utility formulation enables economists to understand how the utility changes for people for their preferences of consumption (Hunt & Lautzenheiser, ...
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PART A- Questions related to ‘The Mystery of the Invisible Hand’
Jevons Marshall is a fictitious pen name used by the true author(s) of the book. Who really wrote the book? What makes ‘Jevons Marshall’ a clever choice for the pen name in this case? Answer. The pseudonym Jevons Marshall is used by two renowned professors of economics who are William Breit and Kenneth G. Elzinga. The pen name is derived from the surnames of two famous economists named Alfred Marshall and William Jevons. The pen name made from the names of these two economists is deliberately used for writing mystery novels based on economics as where the former ( ...