But my understanding is that utility cannot be measured except in any but ordinal terms that is by ranking preferences. If marginal utility can be represented by dollars then doesn't that imply that there can be interpersonal comparisons of utility?
--- Jim Devine <[EMAIL PROTECTED]> wrote: > On Nov 13, 2007 12:49 PM, ken hanly > <[EMAIL PROTECTED]> wrote: > > If this is so how does one make the transition to > > measurement of cost and benefits in monetary terms > > that is the typical mode of analysis in applied > cost > > benefit analysis? Doesn't the measurement in > monetary > > units assume there is some interpersonal utility > that > > is measurable in these units? > > Isn't it assumed that the market price of any item > approximates its > marginal utility? > > -- > Jim Devine / "Segui il tuo corso, e lascia dir le > genti." (Go your own > way and let people talk.) -- Karl, paraphrasing > Dante. > Blog: http://kenthink7.blogspot.com/index.html Blog: http://kencan7.blogspot.com/index.html
