[yoo-til-i-tee] 
noun, plural -ties, adjective | 1. | the state or quality of being useful; usefulness: This chemical has no utility as an agricultural fertilizer. |
| 2. | something useful; a useful thing. |
| 3. | a public service, as a telephone or electric-light system, a streetcar or railroad line, or the like. Compare public utility (def. 1). |
| 4. | Often, utilities. a useful or advantageous factor or feature: the relative utilities of a religious or a secular education. |
| 5. | Economics. the capacity of a commodity or a service to satisfy some human want. |
| 6. | the principle and end of utilitarian ethics; well-being or happiness; that which is conducive to the happiness and well-being of the greatest number. |
| 7. | Computers. utility program. |
| 8. | utilities, stocks or bonds of public utilities. |
| 9. | a grade of beef immediately below commercial. |
| 10. | (of domestic animals) raised or kept as a potentially profitable product rather than for show or as pets: utility breeds; utility livestock. |
| 11. | having or made for a number of useful or practical purposes rather than a single, specialized one: a utility knife. |
| 12. | designed chiefly for use or service rather than beauty, high quality, or the like: a utility vehicle; utility furniture. |
| system software used to perform standard operations, as sorting data or copying data from one file to another, for application programs or other system software. |
| u·til·i·ty (yōō-tĭl'ĭ-tē) n. pl. u·til·i·ties
[Middle English utilite, from Old French, from Latin ūtilitās, from ūtilis, useful, from ūtī, to use.] |
Utility
1. An economic term referring to the total satisfaction received from consuming a good or service.
2. A company that generates, transmits and/or distributes electricity, water and/or gas from facilities that it owns and/or operates.
Investopedia Commentary
1. A consumer's utility is hard to measure. However, we can determine it indirectly with consumer behavior theories, which assume that consumers will strive to maximize their utility. Utility is a concept that was introduced by Daniel Bernoulli. He believed that for the usual person, utility increased with wealth but at a decreasing rate.
2. Since consumer demand for utilities does not change dramatically with a change in price, these companies are regulated by the state or provincial and federal governments.
Related Links
Economics Basics Tutorial
Hairline Fractures: Exploring The Dismal Science
See also: Behavioral Economics, Dismal Science, Dow Jones Utility Average - DJUA, Economics, Law of Diminishing Marginal Utility, Marginal Utility, Total Utility
utility
utility
utility software
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in economics, the determination of the prices of goods and services.
Learn more about utility with a free trial on Britannica.com.
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