Basic Concept of Economics:
Among the hard topics to students, Economics is one of them. Many students find difficulties at the time of understanding the topic to economics. Here I'm describing this matter in short.
There is no definite definition of economics because many socialists and economists have given several types of definitions according to their thoughts and these definitions can be divided into four points, such as Wealth Definition, Welfare Definition, Scarcity Definition, Growth-Oriented Definition. In general, Economics is the study of social science which describes the occurrence of production, allocation, and expenditure of goods, making the relationship between ends and scarce, choosing alternative resources, and interacting with markets to gain desirable goals.
Moreover, Economics also explained that all types of wealth are used for human's upliftment but humans are not for using wealth as well as it also teaches us how to use wealth for satisfying our limitless wants by limited or finite resources.
Economics are two types depending on their actions, they are- Microeconomics and Macroeconomics. Microeconomics is the branch of economics that focused on the actions of small individual entities and on the other hand Macroeconomics focused on the whole economy. As an example, we can say that an organization's function, it's structure, behavior, decision-making process is part of Macroeconomics and those several different types of department work for the organization can be described as microeconomics.
So, this is the main basic knowledge of Economics that is important to know before reading the subject and further information will be provided in the next blog.
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