Question

how can the consumer preference be represented according to ordinal approach to consumer behavour? explain ?​

Answer 1

Answer:

Distinguish between the cardinal utility approach and ordinal utility approach are given below:

• Cardinal utility refers to the satisfaction that can be measured number whereas Ordinal utility refers to the satisfaction that can not measure by number.
• Cardinal utility concept was used by Marshal whereas Ordinal utility concept was used by JR Hicks.
• Cardinal utility is less realistic whereas Ordinal utility is more realistic .
• Cardinal utility is quantative measure whereas Ordinal utility is qualitative measure.
• Cardinal utility follows the marginal utility analysis whereas Ordinal utility follows indifference curve analysis.
• Cardinal utility measured in terms of utis whereas Ordinal utility measured in terms of ranking.