Note 237 — Chapter XI · THE ULTIMATE RELATION OF COST TO VALUE

The curious reader would find it of interest to compare Professor Smart’s statement that the value of a good is almost always in the end measured by a “foreign utility.” “The value of a horse may be measured by the foreign utility of a summer vacation.” See Introduction to the Theory of Value, pp. 37-8. Much dialectical exercise of interest could be had by comparing fully the precise formulæ of “marginal” utility developed by the Austrian economists and Prof. Clark’s formula. Clark’s theory is at bottom in harmony with the Austrian, but goes further.