WHAT IS ECONOMICS

Economics- study of the proper allocation and efficient use of

scarce resources to produce commodities for the maximum
satisfaction of unlimited human needs and wants.
Needs- essential for human survival
Kinds: Basic Needs, Essential Needs-for decent and
comfortable living, Needs for luxury goods.
Wants- goods that give more satisfaction, make life more
pleasant and worth living, persons desire.

Kinds: Public Wants, Private Wants

Consumers final user of the production goods and services.
Producers- use various resources in order to produce final
goods and services.
GOALS OF ECONOMICS