what is meant by the term"utility" and how does the idea relate to purposeful behavior?
Utility is relative measure of happiness/pleasure/satisfaction.
See http://en.wikipedia.org/wiki/Utility
If consuming good A gives a person more utility than good B, then that person would pay more for A than B.
utility and how does the idea relate purposeful behavior
The term "utility" refers to the satisfaction or benefit that individuals derive from consuming goods, services, or engaging in any other form of activity. It is a concept used in economics to capture individuals' preferences and subjective well-being.
Utility is closely related to purposeful behavior because individuals tend to make choices and engage in activities that they believe will maximize their utility or overall satisfaction. According to the theory of rational choice, individuals act purposefully and make rational decisions by weighing the costs and benefits associated with different choices. They allocate their limited resources, such as time and money, in a way that maximizes their utility.
To understand the idea of utility, economists often use utility functions. A utility function is a mathematical representation of an individual's preferences over different goods and services. It assigns a numerical value to each possible outcome or choice, reflecting the individual's level of satisfaction or utility associated with that option. By comparing the utilities of different choices, individuals can determine which option is most preferred and make decisions accordingly.
To measure utility, economists often use techniques like surveys, experiments, or observed behavior to assess individuals' preferences and satisfaction levels. By analyzing these data, economists can gain insights into the factors that drive purposeful behavior and understand how individuals make choices to maximize their utility.
In summary, utility refers to the satisfaction or benefit individuals derive from consuming goods, services, or engaging in activities. It is the driving force behind purposeful behavior, as individuals make rational choices to allocate their resources in a way that maximizes their overall satisfaction or utility.