Introduction to Micro Economics ||Micro Economics Notes

You can download all the notes below this article INTRODUCTION TO MICRO ECONOMICS (A) Answer the following questions in a sentence or word (each question carries 1 mark) 1. Why does the problem of choice arise? Every society faces the problem of scarcity. Our resources are limited and wants are unlimited, this leads to the problem of choice. 2. What is market economy? An economy where the economic decisions are taken through the market mechanism I. e., demand and supply is called as market economy. 3. What do you mean by a centrally planned economy? Centrally planned economy is an economy in which the course of economic activities is decided by central authority or by the government. Example: China. 4. Give the meaning of micro economics? Micro economics is that part of economics which studies the economic problem of individual units. 5. What do you mean by positive economics? The ...