By utility we mean________

Step 1: Analyze the question The question asks for the meaning of "utility" in Economics.

Step 2: Explain the concept In Economics, utility is the satisfaction, or want-satisfying power, that a consumer gets from consuming a good or service. A good has utility if it can satisfy a human want. This is separate from whether the good is morally good, useful in a practical sense, or healthy for the consumer. For example, a cigarette has utility to a smoker even though it is harmful.

Step 3: Evaluate each option

• A. Uselessness: This is the opposite of utility. Wrong.
• B. Power of satisfying a want: This is the standard textbook definition of utility. Correct.
• C. Beneficial: Utility does not have to mean beneficial. A good can satisfy a want and still be harmful, so this is too narrow and not the definition.
• D. Consumable: This describes goods that are used up when consumed (such as food), which is a different concept. Wrong.

Step 4: Answer The correct option is B. Power of satisfying a want.

Exam tip: Whenever you see "utility" in Economics, think satisfaction or want-satisfying power. Remember that utility is subjective. It depends on the person and the time, and it is not the same as usefulness or benefit.