cht Anwauction Anbreductton bo Economics Early definations. 5} economies says. “trat “Economies fs that. body dh Knowledge. which velates te Weal” —_.Lionel._Ribbing =.” Eeanantes fs. the selemce. which _ stud tes : _ human __behavfoun,as_.a_xehtionship bel” _. Wants. a&. Scare means. whic have al tern hve a noes." —_— ~ _C&conemy ¥3. concerned with the best posswle xse 4s the hmited _-yesources J}. = Modern Defnation .-..” A. social. sefence — cemeeaned worth oe athe prope ses -B allocation A veeres ue / fos the achfevement & maintance : gto. uth stability.” = thf. Rens. Smith =” study. of how. in 2..ncwiliged society one. chiming. Ane stave dh What other peeple have prduced AG hou the tetsl preduct. oh society .cranges & Ss deteimin’ his. defination coyens. important — Aspects G wee sity G Ecomomfes vy padvekion & Aerrvibutfon Ef weally & tne Acterminahon ..of the level & chonges in the tora! prdack.. dh the tation. which implies ane thee} economic... Gant. L fast Samuelson, defined... economics. on. the basis modern concept. ob growin. _evitenion \ Ecenomfes. 1s 9 Study how men & Society 'ervote’ wh ov asithouk ake we A money , to employ cose productive wsus-Yesounces which would Wave alternative uses, 12° prodtee vations commodities svoh armed ditabute them fev consumption , now 39 poluse among the Yawious people & yeu pt of sosiely. .Al ksed mevahall Forno long Mme “tre. accepted sites was thet Econamtes Fe concerned — wi th sthose , hucnan ackwties whieh centre, ond. Wealty nok - foe ats eum, but — also ee material. Welgone. trek. : We pxomekes a _ “eeanemtcs Ps She study. of the —genenal__raetny by whic men co-opemke Xo. mncek Me ss_—_noa tenia — - mneeds ee - ee Economic. txoblem ian. velakes 40 the ko pmauce 2. The perst mejow de ce quantity. 8 range . ok. geoas tobe —.pwduced Sis — meseusces ake limited we oath choose. bed” goeds&. seastue— 2). How £0 produces Ex. labow intensive oF. .capital.nlensite— a) Brera aatnor. HE pede fThig meant haw. the __natiene\_produck is ka Ais Antu ted ve... tule saenld get hou AD Ave the ~wescurvces. Economfcally Weal Q_— - LAS 1s protelenn ah ecomemte epyteleney : OX wellbore mmeminigeten “there fe te tee ox - wisuse Sh ese ees since ey Be S) froblem FZ AN. employment . a a - - Eccremy mask gocnS ko. ache Ye Aah. ereplogaeen: - met only 6B Notre tek SR. aL tN. resources. 8. Broken Qo Grete - — Another pavbbleen apt an._-eeonemy en. expending 07. Rexelaping ———§ make sus -tnok LE. Keeps $0. et 1k ratintains ——ccomartions — dh... stelohy. -cope & Nature fe | __pievo -.economftes £5... called. .a$..frfce theowy SI TA explores. the cormpos\HON.C% — atloenben 6, Sf _- tolal production. ~ why — more db Somethings fs pxed uced than ..65-—othet momomics.15 called —.a5...Income “Theory .. “TA. expleling the level... X0ta] production a. “shy the, level arises 8. Aas. Econpmi tS Micke. Geonnmics se wine eh ee PALER EG, ECOMOCAICS (> Market. Eeemeeny Lo -= DikbeeMt policy mensurses = Theag A demand mn to Sclve enter econcentc.pmiter, - Theory 4. hoduchon. apeeer nee G) Treary,.d) Af st silat hed wT. pevebty., anemplogement , mequalshes ~ Rent. swag? d— ce ei uameome. 2. wealth, snyshen = \nkenest, PrB SK a eee & deplahon ete... G) Weighs. Ceonemics = Mene tery, -Hscal pelcies Linde oe - _Pileyo = ecempenies Te. beth. pusitive, & nexmetive . TL mel omy - kelly vs. he. che . ecamsmy . cpemfes but also hew wt Sheutd toe. openated, Ao_..exemok general .welbste, Ex LcralRing. about. Fences t15... Mercere.” Keememic & Sree. 18. Micve. = econo! © 2 cox Mace economic. ..deals._tafth how. _an.... economy. gvews _ adhe. fpamulation.&.-asebl. economic. pslicies.por athe sehen 4 — _mncre.-analysis.... 1s d-—sthe... wiimesS... sig arpicance.. : ee Wo 7 ATA. work's. awk... cabional wage paiey+ >? As... Env = Aibile... discussing. Phe ..neduve.....d. scope 6} Ese noemes, positive a. Science 4 pea ent gue = (ay wrethere ih is a serenc@. Ab) whether ik VE 4 bs normative science C0) What ls the natuve A economic genero'isations 9Economics, we have ty paluse oh Economics. fe entitled to Soe called A Science, ~ wile consfderting The . Whether Eecnomics °. ae S e oe vwoeurtld, were lad end to end, 2 econ Avsion... An. Mies). dy ste. roel they, wo Ant _veach a cone Masence dh. ammaninily among economists sine. chats SX ae i to be. -fegasded ds - sfence nas __beeo_Challanged,_ comortes .-ter it simte..mnen_ahe_ TT ts puncte | i dom 1 endowed... with a... free : : ( 1 iy jae highly complered vohied & voifable. Le Ps Atgpicwe te. balla upc Sefence on such..o. Slendeh.toundetfon. _ hae [The ..cynics...dpten sey : . " were. It Is. veally. Scien hic it dors nok have edo ulth. economies A. What ft fs. ecomerdts, painted ..out Anak of, Will, economis .phenomenan Lowmach...to ik. Ss -nok.....sctentffo. SS Bul Wk fs. mek sd. whethera potlfevted ranch Sefenceoy nat, _leatniag. entitled to bee _-idepends on, whok we tontider a. Selene. to be. By | ssience we merely vntertind a systemalized body. 6 . Knowledge. TL. Fs. got mencly ao _ cellectfen__ dk -Waclt. Gul the. fatcks ose Se. athonged thet they Syeakt fps themsetyes That's why Seme (aus ore dfscavened , Feb exploty 3 lactate the fucks. Only hen lows hate beew fosmuleted does a . bxanch & . Knowledge = become st sclence. nthe... werd ay _potncose_,." $e ifs __bufl up SAP AS as. a howe. Fs bei d ae} shores Lbvkal accumulation. 6 jacks is. me_moeve. a. Seience than fence. facheap Stone fsa ewe 7 iLike othey.. sclenses, Eepnomles. can...clafm. a Woven A Lvtmpestany Nscovertes that ove \mproved . cut vrdenstandiag Ri as economte Redpermanre. Tt ts now folly. ~opeed. sthet Economics is. a fell = Blegedscence . In gmck, tk fs_ no ay Ieee than these} othen _ acfencesw True Natuse tf Econonates. 2+. th. fs mecessaiy te ainkerstand he tone [wets — Econsefes , The... paradox —of Economics 15. thak : Lit. fsa selene A —yet—tb canst predict fultwe Oh. events. 9$_—sKhe natctal won pan chemfstxy.can_,.. Men (3 Selene Wee endaved___whto | a i oh will. fre dicHno..k__-harnan— 4 AnypiewL— prysics — As. a —keedern hreloiouy 1S_, Whelebowe, a! Economists... cae bond icapped in... swmber 6h ways + 1). Economic. Seales aN compler...d..9ek. easy to grasp — jusk think’. Dk milion DL purchasers. A sellers, hand eneds Oy Thousand s X, commodities bought A sold. ’ advise t whe Con 2d. Wen cane Le kully — Ninkevskond.. people! present ackiens ne. Ooppraice there. peters... Serle trons... Hemet, sudden 4 trends | changes 19 fashions. 2 tases — upset ca\eulatted > econamis ts > Lose Nevmatwe Sclente + = LA postive Sdense only explains. what ts” Po exalt ve Severe ells. MS. wire ought to be Right. ev..teng._sly —.-—Ahing cps Serene ‘ jae’. dence = evaluates. \ 2 Exll TY \eusinessman.., ase. pregh maxi gartien catkenion 1k is i = i poddive...econemics..,—lawk when we 8aie .” oxgne “awe y wee nex § ; > |clasaicat i \ I i | "pad. he seiante dD. ecenamies._should. be conterned \ only. with whet is. met. sotet EA, + Positive science... Almust...al\. leading economists. Inas . declored ouget to be” it Seniors. “hough* that. the _ economist could not I add even one... werd...-.dh-adaise‘ We Economies fe awl conreined with ~ Robbins’ Wed ay the "ands", osiyabilty oY olienwite “We sole eewnomiislh UE mga ennive’ conerived of as. “thal AX Ure evpeak who consequenees. ane liltely te {ello a awtyo can" judge as ae ecemondst the oh these aetions , cary say Wher cerlun. actions. . laut devrva lity economist (6 tnehely TE is sold thot he” Aunetiow fo explove © expldim nol Ww advocate " Mackie Iyelaty betes ob) the — poamative —seiente , We soye > Econemies 1S hundamentally a oemetive bet, ped menely a gesitve Senta live chemistry", faced Lowity Seance NeSONTEES B..commpeling ends, Moe..cholee Od. femal ced is Ke. geiss. a Nalyie. agement, Te Lary A8. cadbieve.oplirovma. gals breton As Me sreali gee _an_objective. which. vray. be considened geod & “Xeadenable 0 The economic agent bas bo ack,.om the - principle Ahe.scose meant. shold be put de the, advantage. &. should mek be woshed., _. Teal’ Eeomymics iy olevinusly. a. Normative. Selene - Econowfes - A cvefal Selene, co Eeonvenks.... Ps..primadily. a..study .6%—— oma. & nok dL wealth... Bul. it doesn’t study. man. --—-[LeS__sm isolated. individsal whe hat... reneunced...cthe— eld Men _vohe. liven ..Saciety..abpssting....soctedy. L by aheis actions..&. themselves exposed...to._ Social inguence, s|ncrease, lo Demand Brceeits happens, eet move & puschwel XS — he sare _price 8 senee_ quand is pornos Ihighee price. ex Tk Mote became _{astrion _dernand_ wil. Jroceee_ak ee) pre TL Aceippenscalken consumer. plan ee 7 — -pareinase _léss__ek ecco possible price ee Prive} taliel. oes fallen... the quantily demacd has incetel —bub_sthere 6.0 decrease tr dlenand. tp (aptap, Demand. Mowno\ dn fentone nn Lasse “Gothen. (oar) | _Cperand MC demand di (demend-A. 2 Geld j WH Consumer wee op with hoe | \wcorae) Consanen ineoe) tneme heel i Most baja would 9 OY) Conners) | ef beying Aleiraiee po Wo Wore Woe Weave Tere LOE cawwe Ys ow bat buy Cor Mahesh Wes o butte eo Wake Shen ced} i Cirenve bike as interna gud 2 vehide 34 netyee\ |Meaning of Remand. 7 - Demand th a need OD} Curterers wit an ality te pay - Demana te —aleage aka extie Tk means hows [emia a person sat tbe witlting to try 2 como y ~ =} ek a ___ceatatin —_prtee v9 pxtces aang — [some speerter.—gentod 1M amotner pice he Lt. aly ety eR penenkqpemrSey meee ak thower pate & Ness ok Highenpyice Te spent je Aemandk... withewX...veherence XO. gwlee Ts osnenninglese Meo, Awe demand te always. per ara tine. ees gree Ae pind Sy Nie hse 4 ME ekemana pater fs Aare avenge evenwe 05 (neome. he enpeet.K& ema een Bee SA a ME On COMMER Paes emmenad pete ts fender itn. ang. seventies Cae) _ = Typer of —-Rermema to L€ ad Pee Demans Pafce demand orefers 40 the vorions Qnans Hes Sh A cormmedity ee sewtee teeta conmmmen Would pwyehase at oa gwen Aime. ea a mane® ox votious nypethetia\ prices EE 1s aartmed thet ether tinge, ote ne cemsumens income, SIE tastes & palees oy motes nelate a emer ee > ahcene eeaweA {tre saeome. derennd. efens te Ate Se naieh By goats a. aunetees.. venice. woul FE yaw coneamens ek seantous tevet fe |) lancare tame ase marae ote plea a ae commodity 98 Levices Oy nye srelated . goods. A whe tastes BR Aesivet 8% comsumens Avnet change Goce Demand 2 Tha quantties 5% geeds o¢ senice. \ mahice wit), bee prachased with seyvence te chomge ST eee 4 ok. Gh As geod kt dh ottheA Anter = velated geods 4 Ahese goeds. are CHER Sushhtet oy come@lemestaty gree - ee A erg on pete REA HN a beET Aemand OY sobkeeeater ate ET, “PEC ptronal Oomand Cadves — C crifhea. Coeds Wwe demand exe Sho; eS dowrnwerds te “the AeQe Bal gomedwnes ne demand — ewve. y tastead de Slopmmgq — downword , wit rte nuprrands . Tn sthedcucads, Some tyoes prope will ly mote shen the Puce wives, LWT cow be. Seprenented only by v\sing. demand cave kee ikke quads elds WNW a vse EX Weg Wok Ave demand is shaeeythensd wr prtce. -SeAlewS —_ Shustege ts__feored_, peapte___gct_ Pane 8 kay move even s sisrng . Awough. athe _prtce 6S LAW. OF petmanty + na MWe law — states that demand varies SN rel. nece Stanly “The... law fh. demand indicates wet prfee. a » Wersely -prepes tecakely AWAS__Ieverse_crelahoashye quently. demanded a men AW wie ota Abe prtee CEN commedity ex _serutce, yolloued lay a wedveWion in demand a fall oe Ts Apttowed yen imeresse. ia deward , sf cencktens A demand _ yemain, ~The consent,” qualitying phyase “abe coaster "is very Acpartant... Marshall's Was Aas eeeer Va Whe smallen —_enusk_be conditions dk dlemand vemaisiag Sagteatel athe amour te be sell, —ahe. ite eek Petkidy Peg ~ QE ie order. thal it cong. od___paredha sens.” : Te EL Ns the tau ~dimiaithing. marginal. athlity hich ~explsing he tn demand, Demand Wha s is a function Q psc. ie i vaties _ ~ with pyice A. can. be erpresed at D2 F602 ow Tk may alse. be added thet change fs. umplied. me _preporstiondlity no the> Uinitetons 6, the Law, ! O) Change tn taste ox fashion 2. change re Income C3). chenge.19 _otheh.. prices CH). Sule stitutes >...Demand curve... rurmam ..—lbelmsiouss. ve The __relalionship....oe1 -Ihe_price. &quantity....i5.. mnvense.,.. Px 1 02 Price dz. deren d. a Aclare... Sreith., Waraembbeing... fs Yeay selbishe . The According—%0 eatesion... Dp ‘puding seipishne $8 od... hunan teeing... i the - main _ the -telationship. bet.” demand...€. price Deel” shot tne fe paging. A hob. beth getting the leash. A wants the - Man ses. te _Waght..— i vet” Man Avies.. to. give wroximun.... in... xebyan. & =. Whe cht is giving. whe Aa. Teeiwing.— 7 Gr k Trade stops exchange gees on exchange ges eG 2R Ne Meade ad _att Ak Of, puice..a comsymen is clouying 1255 ‘oq whess as ot lof bess. beayin Consumer fs in._squnlh byivm. -allnen. _Rhe.madginal —attilety...o—% good —— equals... tks. _paice.. — enn) 208... .--haN Wo Ope pa The. From. this ik more than... before. consumetA. rays. hy — follow s._-thak.._the....-alienint shing. sondgioal._aility.. Guyye leads Cua @ _ deena. mate dtenward.__.sloping> Contraction — A. Aemand Extension @_.Aermand = > tncrease in demand). other factors take into account > _weeeate — in. demand 4. 8% imeame sige a gomby Seth peley & Dernand —— oe | i 4 : — - = : =| ake elasaraty.. dhdernand ts. measuse. df the -velatie i _ {i change 09... amount perchased..sn_wesponse. tea nelotive Lo change. an pete on a. giveo.. demand cane,” A teig...enange. in patce S-keMlawed. oss hy a seal). change... in. .demand bapa fe is A. Sonal. change. e-..may. lead +0. a. greok_ — change tn. demond,_. Wo ea Luh Abe pate Oy radio. sets tplls, anny geeple, whe ee Would ook ....obhesd to __lowy ray mew tbe force te oy, Tre... demand... wilh... Sven. ek expand, re Types 6 Elasticity faice Elasafelty 1 Tt measures. _wesponsivenrs . dy. petertal fougers ko change to . price. Tk. id “Nhe athe dy percentage chenge Ta quant demonded in Aespanse tO a getcentye chonge tn pafee. C9 Perfect. Inelastt demand. Eda = Aa No substitute OQ44_ovigind qaronbly demanded, chennas...there...1s change ta _psfce, _ tna — words, numeaey if gere & denemineber is "OR. Wa etek +01 3 Hence. change tm pefce has ne elec on quanhty extiinsulia te a diabetic patient ¥ 3 3 ft £_Trese Tx oe. change - ta... price lout toere fan Rnereare. fr quantity demanded... tnis..means Shak Ane elasticity of demema...is_peakecty- ef peabectt. 7 REY elas esate... Pirkice—i.4___nelk_onaangiing ——— ~~. Fodsiegn_Cusrrente} etcriglentt= __decnand._.t 4 Unit. ddsticihy of Demand: .€a= 4G. at ee oe o Hy-sthere_is..a. . change --ta.. mee I a_.goad. bey--.20.72.,.. Maen Shere nll oe. comtipending decseate ty quantiy _dersanded Soy 2072. Such goods ote earn faat | goods... = : SC) Relatively _Incashic clemand EA as ea <1 changein peice “PP! is. mone. &. sedyetion rn _quanhty demanded is less "aa, * cemi- essential queds ex: cleths, Shoes f water, _Aelegrone gavoentine- L(S?. Relabvely elastic demand > # Sted ot . aS ae = _ change. in. pwice. 14. less... here 4 r ' es. IL. cowvespording . ehbect om - change om demand fs. more, - Laxey. gede _ balls under Ths ——— wo en ntobegeey. CoBhee, Airline Aickels , —--. SOCKS...enegsdve.. A Kesponsveness. TA Etastetly.t —@) Loca. Tete. a : Ay potential. ouyeas to cha ae 7 shows how. “the. quan hy — demanded wit change when Jy__ paschased_eharges vate pate Oho xe msins___cthe Some, ____—______--__ wantity _Ravchased Cre sats] - constant, =the incom. scarmmodity TL e:-.2 le. change fa. enang, one When the ptoportion 5 ineeme, _ + oun sty on _Speceh on...ot goad. temmains —sthe Same ever —Froughy._ mexensed) ——_— hen proportion in coon e. \acame has. Tr _ fs _gveoted than. Oe Spent, wmexetses 20. geadsMncreaues.. as. come as TE WS... ders. then ove when... prmpeik on _ oy, —Aceme spent of..0.good. decteares....48.. imeomeimerenset -—-Nosmally foe ince me ofyest: fs _pasihye _,. rsaceme._elacticity Oy —temand gy. -Lr_fs. gevo income. elactieily alo. .pedtive anges in imcome rmkay 290. .cete. own. oer puschases, 8. Tk 1s negative when ill an syawwease Fa Vacome,. tonsimehpuscneses. (ess -D_ cross. Elasticity 2 mo ~ Nese, the change... the pate of one dernand__ 40 another. Dy _Commodrt commodity Coases.__e hange fa. a . _gevchase Tals ype df elashchy anises in =the case. Ok. woker_vetated coer GAS cue a3 SuhsHhhes 8 complementary goed... ers. Elashcdky 5} _dememad _ain_be. wed -to._nedicote looundaten bel” Prdusaies, Geeds wilh figh cess elasticities censttie ome Industyy —, wheneat geeds with los cyssl alaslicy — censtitvie di ftesent lwdusiuies ,seo CUT ee meat. dhe ampun® ebeened — fO- Acta) vole O56 — gow Sate, price _ cormodity & —_stocis._fe she. a8 Lenon¥ et actually .xeuginh, Ane price 5 - i talnich___can bbe brug t_—1nse——4 _whidh ie = Supply means.__toe quien pinen ahings —semaliximg ——tins —Samé——S8 fs. exteonded.. 4 £ _)-&... -conamodiky-— mises. __iks__seppiy, ie sue pply fs cam teaed edn — Aniger..ia tne supply - “he ___srelaomaing bet” willing to : _ prtce eal ~_ higher. the. pice sine —— __ sine dae "re presents prices. _sNoe_-—Qatanh ties. that people. ore ox _--sell a rice Is_high_as —ten.ho—pen ess Sey a» produce mary as Ac pele falls, when te so Agen apples ore. dkkeve dso - ouot.supplied..._decreates—. a ws . AS —psice _falls_—__supphy-- _eptiwacked.—.a+_patcs Ee xe some gly.._ts extended This. is law Shey - : Tt snail. be neted alent. tee Lo soppy aE. Slepes devin serds wafloro.. anghé te ep wewense fam dered... curve... Which sloces.flem Pree left. ‘co... right sete ws 2 cthe. pice. _fpild —.demand fs. etended 7 cn Bvemivbes supple? —______buk__supply.fe__ Coutyached._&— sis. pae _____.-__-_sses__demond.___ decease? 2 __snpply.—anereesKo. Equiloviwm “8 — Supply 3 pemand 7 The consumers ._.demand.._-di ferent amounts dj - preducla fumcton_.ds—“tnere gook S_prfees.,.. Saenib omy. = ae wall\irgly——spply Afijesenk_—_—amounls___.6, —Shese———— ae |, depending on. __ctetn__—_pexfces_.—Hene—we _puk_loutta__side s ea _moatek —_rogeMneh.—— Ite —_enonkek eg.uililesuna.—_—_sames—— I hele _cthe._jercos._y Supa A demnand_ one At_-Nhe- —eqaulilaginsa price, Aine amount tow fs just equal te_cthe_.amawk. che reason... wecall ” “bison _ 8 — supply A demand, ot hot yatee 8&8 oe quantity — in___tolance_. | trek _touyers wank... _ ithe _sellea_want__.te sell. eq witibrsium —i's.,—sshen.. tine——— fxces. forx___price—to___aise poe setall cage _Abings —-.neresito__.. unchanged _fosiide __ Asien —_____. Wee Demanded ees _SRS__praducer sould _[ilee 40 sell _18__boes while { Agmandts wont to buy _anly—_._-_"The__amaunt supplied —} ok _S&s exceeds the _amaunt demanded Less. Joke AeKing prmduck ., ste price —dh__prodnch They OBS. Comsteer exceeds — ko. disegpeah__fylen_the stereo that Hep cree eqaionun eee peat price 8 —_duaniity —- comes _tassals— Tne _amew _oe _ Shnegtages — ot wWhae_ Lone eqgisitohum amount wall ngly ee 85au Ie, XCBO Means small, Whys Wb fs -the shuda of of Andividual Seay foun maniind , study of Waividual Mocemes , SONSWMPATENE Saag” & wtesterent aio. Mike Macro means large, TA ws “Wwe SAUay of nation national Income ASA button, : \ ‘ A invesdment consmprion , Seis 7 axvmigetion of ‘wodividual 2, The objectyves af sxyevoeconnenct is maximigation Sorislaction : I A tb is Ale economic = The ckjective oF macroecone mics is to govern j Eat) employment, Price paremetas af 9 nation Kee qsowh , Py ; stolally ete, WWleviw: 3, The mictoeconemic concept Acoling with Awe prrvial 29% Neviven Ao Gnaividcl Fars confines” to industyy chtggevies & fevedtated : abvicrenent of 7 icconee) marelyeis is Tekan Ao establishes - macro ceonemis 4 vaca ereNg A equine & mation , ae Stotent eqtee | genial equililevives for 3 global economic co-operrdion«