Bob has a utility function U(x, y) = √√x₁ +0.8√x2 +0.64√x3 over his incomes x1, x2, x3 in the next three years. This function is an example of expected utility quasi-hyperbolic utility function O discounted utility none of the above

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A: Marginal Utility refers to change in total utility resulting from the consumption of an extra unit…

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A: Answer to the question is as under:

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Q: Please do it in 10 minutes will upvote

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Form Utility

The term utility in general refers to the satisfaction earned from usage of a particular product or service. Utility always plays an important role because it influences various important elements like demand & thereby the price of the good or service as well. Though utility is not easy to measure, various types of economic models can be used indirectly. There can be various types of utilities like economic utility, marginal utility, cardinal utility, form utility.