Circularity Quote by Joan Robinson
“Utility is a metaphysical concept of impregnable circularity; utility is the quality in commodities that makes individuals want to buy them, and the fact that individuals want to buy commodities shows that they have utility.”
About This Quote
Source Book: The Economics of Imperfect Competition, Joan Robinson, 1933
Utility describes the perceived value that drives consumer demand for a product, linking desire to purchase with the product’s inherent usefulness.
In simple terms: Utility is the desire to buy something because it’s useful.
Key Takeaway
Recognize and enhance the usefulness of what you offer.
Themes
economics
consumer behavior
value creation
Mood
analytical
critical
thoughtful
Type
philosophical
economic
analytical
When to use this quote
- marketing strategy
- product design
- pricing decisions
- consumer research
Key Concepts
utility theory
circular reasoning
subjective value
Questions to Reflect On
- How do you measure utility for different customer segments?
- Can utility be created without actual usefulness?
A Different Perspective
Utility may be subjective and vary across cultures, limiting universal application.
![“[The] utility resulting from any small increase in wealth will be inversely proportionate to the quantity of goods previously possessed.” quote by Peter L. Bernstein](https://sms4smile.com/quotes/img-quotes/d2e/peter-l-bernstein-27498_money_the-utility-resulting-from-any-small-inc_564346.jpg)
![“The very nature of economics is rooted in nationalism. ... It [was] developed ... in the hope of throwing light upon questions of policy. But policy means nothing unless there is an authority to carry it out, and authorities are national.” quote by Joan Robinson](https://sms4smile.com/quotes/img-quotes/eba/joan-robinson-11438_authority_the-very-nature-of-economics-is-rooted-i_15974.jpg)
