A group discussion was taking place in a classroom among the students on the topic of Utility. Ram said that -Utility is the want satisfying capacity of a commodity and added that the utility one individual gets from the commodity can change with change in place and time. To this Mohan disagreed and said that utility cannot change from place to place or from time to time. Who according to you is correct?

Mohan is correct Ram is correct Both are correct No one is correct

Ram is correct

Ram is correct. Utility that one individual gets from the commodity can change with change in place and time. For example, utility from the use of a room heater will depend upon whether the individual is in Ladakh or Chennai (place) or whether it is summer or winter (time).