Category: 1. Introduction

Gross National Product (GNP) Definition Gross National Product (GNP) can be defined as a measure of country’s income which includes market value of all products and services that are produced in a particular year by a country. Table of Content [Show] What is National Income? The labour and capital of a country, acting on its natural resources,…

Economic Statics Definition Prof. Kuznets defines Static economics deals with relations and processes on the assumption of uniformity and persistence of either the absolute or relative economic quantities involved. What is Economic statics? Static economics is a study of factors that are not subject to change. Thus, it can be said that there is a state of equilibrium in…

What is Laws of Economics? Marshall gave laws of economics definition as Laws of Economics or statements of economic tendencies, are those social laws, which relate to branches of conduct in which the strength of the motives chiefly concerned can be measured by money price. Table of Content [Show] Laws of economics are based on a set of generalisations assumed to…

Microeconomics vs Macroeconomics Economics is divided into two branches, namely: microeconomics and macroeconomics. Microeconomics deals with the economic problems of a single industry or organisation, while macroeconomics deals with the problems of an economy as a whole. Table of Content [Show] Both of these branches contribute a major part in business analysis and decision-making directly or indirectly. Let us discuss two branches…

What is Business Economics? Business Economics is the integration of economic theory with business practice for the purpose of facilitating decision making and forward planning by management. Business Economics, also referred to as Managerial Economics, generally refers to the integration of economic theory with business practice. While the theories of Economics provide the tools, which explain various…

Nature of Economics Similar to the economics definition, there are a number of controversial issues related to its nature of economics. Some economists consider economics as a science, or economics as a social science while others have a believe economics as an art. Economics as a Science A subject is considered science if: After being analyzed, economics has all the features of science.…

Scope of Economics Micro Economics This is considered to be basic economics. Microeconomics may be defined as that branch of economic analysis which studies the economic behaviour of the individual unit, maybe a person, a particular household, or a particular firm. Macro Economics Macroeconomics may be defined as that branch of economic analysis which studies the behaviour of not one particular…

What is Economics? Economics is the science that deals with production, exchange and consumption of various commodities in economic systems. It shows how scarce resources can be used to increase wealth and human welfare. The central focus of economics is on the scarcity of resources and choices among their alternative uses. Table of Content [Show] Economics is…