Berk's paradox

Berk's paradox is an economic puzzle suggesting that even when a new product offers no direct benefit over existing ones, it can still increase total consumer satisfaction or utility. This seems counterintuitive because adding a product that doesn't improve quality or options shouldn't make people better off. The paradox highlights how consumers' perceptions, choices, and the ways products are valued can lead to increased overall utility, even without tangible improvements. In essence, it demonstrates that variety, context, and consumer psychology can influence economic well-being beyond straightforward product enhancements.