Concept explainers
Definition of economics.
Answer to Problem 1CQQ
Option ‘a’ is correct.
Explanation of Solution
Option (a):
The economics can be defined as the study of how society manages its scarce resources. The economy consists of scarce resources and unlimited wants. So the economy is study about how the society manages theses scarce resources to meet this limitless wants. Thus, option ‘a’ is correct.
Option (b):
The business and profitability are two small parts in the economy but economy is not only the study about the how to run the business most profitability. Thus, the option ‘b’ is incorrect.
Option (c):
The economics is not the study of how to predict the inflation,
Option (d):
The economy consists of how the scars recourses are allocated or managed. It is not the study of how the government can stop the harm from unchecked self- interest. Thus, the option ‘d’ is incorrect.
Concept introduction:
Economics: Economics refers to the study of how the individual, society and organization decide to allocate its limited available resource to produce finished goods and services in order to satisfy its unlimited demands.
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Chapter 1 Solutions
Principles Of Economics, Ap Edition, 9781337292603, 1337292605, 2018
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Economics Today and Tomorrow, Student EditionEconomicsISBN:9780078747663Author:McGraw-HillPublisher:Glencoe/McGraw-Hill School Pub Co