WELCOME

INTRODUCTION TO ECONOMICS
By D.B.Naidu
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DEFINITION
OF MICRO ECONOMICS
The term economics, from the Greek oikonomika, means a science or art of managing the household. In modern usage, it refers to the efficient allocation of scarce resources in the production, distribution, and consumption of goods and services to satisfy various desires. As a branch of knowledge, economics or economic science is the study of how to efficiently use limited resourcesnatural resources (land),labor, capital, and entrepreneurship to achieve maximum satisfaction of human material wants.
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DEFINITION
OF MACRO ECONOMICS
Macro economics is the study of behavior of the economy as a whole. It deals with the aggregate economy and the behavior of its major unitshouseholds, businesses, Government, and the foreign sector. Macroeconomics is concerned with aggregate and average of entire economy. e.g. In Macro economics we study about forest not about tree. In other words in macro economics study how these aggregates and averages of economy as whole are determined and what causes fluctuation in them. For making of useful economic policies for the nation macroeconomics is necessary.
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OTHER DEFINITIONS
Mercantilism or bullionism( wealth fixed)
Physiocracy
(only Agriculture Quesney of France) (Adam Smith)

Classical Economics Marxist Economics

(Karl Marx) (Marshall & Ricardo)

Neoclassical Economics

ECONOMICS
GLOBAL ORGANIZATION AND ORIENTATION

The Great Depression led to a declining faith in the classical (laissez-faire) self-regulating free market capitalism, and the emergence of Government interventionism, following the publication, by John Maynard Keynes in 1936, of The General Theory of Money, Interest, and Employment
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FUNDAMENTAL ECONOMIC CONCEPTS

HUMAN WANTS

LAW
OF

DIMINISHING UTILITY

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LAW
OF

DEMAND AND SUPPLY

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ANALYSIS OF DEMAND

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ANALYSIS OF SUPPLY

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AGRICULTURAL LAW
OF

DIMINISHING RETURNS
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MECHANISM
OF

EXCHANGE
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EXCHANGE WITHOUT MONEY

(Promise to Pay)

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CREDIT
KINDS OF CREDIT COMMERCIAL CREDIT COST OF CREDIT WHAT CREDIT DOES

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MONEY
BANK NOTES POPULATION AND THE MONEY DEMAND FUNCTIONS OF MONEY TOKEN MONEY PAPER MONEY

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PRICES
OF

COMMODITIES

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GRESHAM'S LAW:

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THANK YOU ALL QUESTIONS PLEASE

Friday, October 11, 2013

D.B.Naidu
92480-05303 dbnaidu@hotmail.com

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