Fundamentals of Economics – Demand and Supply – By Dr. Gnana Sankaralingam Economics is the study of how a group of individuals make decisions about the allocation of scarce resources. Since it deals with human behaviour, it is considered as social science. It is management of basic economic problem of demand and supply. Human wants and needs are infinite but nearly all resources are scarce, which forces the economic agents in making choices by allocating available resources between competing uses. Everyone have certain basic needs to live such as food, water and shelter. Everyone also have infinite things they want such as designer clothes, smart phones and luxury vehicle. Economics is how best to satisfy the people as effectively as possible. As these economic decisions are based often on opinions and judgements, they might not always make the most economic sense. Demand is the quantity of goods or ...
Feb 17, 2025
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Articles, Dr. Gnana Sankaralingam
Tagged aggregate demand, aggregate supply, business economics, conditions of demand, conditions of supply, consumer preferences, consumer surplus, demand and supply, economic activity, economic agents, economic decision making, economic equilibrium, economic welfare, economics, equilibrium price, factors affecting demand, factors affecting supply, law of demand, law of supply, Macroeconomics, market demand, market forces, market supply, microeconomics, opportunity cost, perfectly competitive market, price determination, price elasticity, price fluctuations, price mechanism, producer surplus, production costs, scarcity of resources, supply and demand model, taxation and subsidies
