Transcription of Introduction to Economics
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Introduction to Economics
Introduction to Economics September 2019 ii Contents Chapter One .. 1 Basics of Economics .. 1 Definition of Economics .. 1 The rationales of Economics .. 2 Scope and method of analysis in Economics .. 2 Scope of Economics .. 2 Positive and normative analysis .. 4 Inductive and deductive reasoning in Economics .. 4 Scarcity, choice, opportunity cost and production possibilities frontier .. 5 Basic economic 10 Economic systems .. 11 Capitalist economy .. 11 Command 13 Mixed economy .. 14 Decision making units and the circular flow model .. 15 Chapter summary .. 19 Review questions .. 19 Chapter Two .. 21 Theory of Demand and Supply .. 21 Theory of demand .. 21 Demand schedule (table), demand curve and demand function .. 22 Determinants of demand .. 24 Elasticity of demand .. 26 Theory of supply.
more desirable distribution of material well-being. 1.3 Scope and method of analysis in economics 1.3.1 Scope of economics The field and scope of economics is expanding rapidly and has come to include a vast range of topics and issues. In the recent past, many new branches of the subject have developed,
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