Title: Cost vs Price vs Worth vs Value [The Human Condition]
Headings: Cost vs Price vs Worth vs Value
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Table of Contents
Cost vs Price vs Worth vs Value
Everyday language
value
cost, price
worth
In Economics
value
price, cost
worth
In Business
value, worth (accounting)
value (marketing)
price, cost
Discussion

Content: value
How much usefulness or pleasure an individual gets from a commodity or service. In economics, Value is still stable and subjective (see utility ), but it is also supposed that value has all the properties of a number–that you can not only compare, but also add, divide and do calculus on values. Economists suppose that there is no problem with unlike categories of value, so you can express the value to a person of having one year of free speech as being equal to some specific number of boxes of shredded wheat. Though it is theoretically a number, economic value can't be given in dollars or any other currency because value would then vary over time (due to inflation) and by country (according to exchange rate ). nominal value is another name for cost. price, cost
Unless the mechanics of the Market are being studied, economists take the after-the-fact view, assuming that cost and the (final) price are identical numbers, and they also average price across the market, so that it doesn't depend on the psychology of any particular buyer and seller. Real cost is adjusted for inflation, such as constant 1970 dollars. This better represents the underlying value because it doesn't change over time. worth
In economics, worth is related to the theory of capital. It doesn't make sense to talk about the worth of a service or other forms of labor, because we can't accumulate a labor, expecting to sell it later.