Economics is a social science concerned with the production, distribution, and consumption of goods and services. Also It studies how individuals, businesses, governments, and nations make choices on allocating resources to satisfy their wants and needs. Further It called Micro and Macro Economics.
Basic questions of economyFour basic economics questions what goods to produce, how to use resources in the production process, who receives the finished goods and when to produce the goods. Given limited resources of labour, raw materials and time, economic agents have to decide what to produce. Hence Most primitive economies concentrate on producing food and shelter – the basic necessities of life. Basic economy question
In economics, opportunity costs refer to the value of the next-best alternative use of that resource given limited resources. In daily life, opportunity costs are the benefits or pleasures foregone by choosing one alternative over another. Also Opportunity costs apply to allocating resources in production Production, consumption and opportunity costs
