Subjective value refers to the worth that an individual assigns to a good or service based on personal preferences and experiences. Unlike objective value, which is determined by measurable factors like cost or utility, subjective value varies from person to person. For example, one person may value a vintage guitar highly due to their love for music, while another may see it as just an old instrument. This concept is essential in economics, as it helps explain why people make different choices in the marketplace. Factors such as emotions, cultural background, and individual needs influence subjective value. Understanding this can clarify why items like artwork or collectibles can have vastly different prices to different buyers.