I PUC I Economics I Unit 1 I introduction.pptx

economy introduction

1. I PUC (Commerce & Arts) Book 2 - Indian Economic Development Unit 1 : Indian Economy on the eve of Independence (Introduction) Instructor : Sri Harsha Vardhan

2. Learning Outcome What is Economics? What is an Economy? Why study Economics? Basic Problems of an Economy Central Problems of an Economy

3. Definitions   “An inquiry into the nature and causes of the wealth of nations .” – Adam Smith “Economics is a study of mankind in ordinary business of life” – Alfred Marshall “Economics is the science which studies human behaviour as a relationship between ends and scarce means which have alternative uses .” - Lionel Robbin

4. ALTERNATIVE USES Land LAND LAND

5. BRANCHES OF ECONOMICS A study of economic decisions at Individual and organisational level Example : Consumer behaviour, Price determination by a firm etc. Bottom level decisions A study of economic behaviour of an aggregate economy . Example: Aggregate output (total output), wage rates, rise in general price levels etc. Top level decisions

6. Difference between economics and an e conomy

7. Economic Activities : meaning and types A ny activity involving money during the exchange of products or services is an economic activity . Example : Farming, transporting, selling etc. PRODUCTION DISTRIBUTION CONSUMPTION

8. Why Study Economics? To allocate the resources efficiently How can the farmer earn maximum income in a given size of land? Which sector needs increased allocation in the government budget ? How to make use of India’s huge human resource? To understand how governments manage our finances How is government using our tax money? What are the steps taken by the government to help the poor ? Is government spending too much on wasteful expenditures?

9. To understand the societal problems Why is there so much poverty? Why is unemployment increasing ? Why is there so much Inequality ? How can we solve the problem of Inequality? To be an informed citizen Is government taking right steps towards the welfare of its citizens? Is the government spending too much ? To manage your personal finances well How much is the price rise ? How does it affect my income ? What are the interest rates proposed by the RBI ? How does it affect my savings or investments?

10. To understand the global affairs Why is China growing faster than India? How does US economic policies impact India? Why are many African countries still underdeveloped? To explore economics as a career choice Does economics as a area of study interest me? How can I help the government solve economic problems?

11. Assignment Name at least five resources in your surroundings. Also, list out their alternative uses in your daily life. Mention atleast five ways how the subject matter of economics impacts your day-today life. Consider that your father has given you a pocket money of Rs 5000. List out minimum of five possible ways how you would use it. List out atleast five of your non-economic activities which you consider very useful in your day-today life

12. Sources (Images) All the photos shown are licenced by creative commons and made available for public use . https://www.photosforclass.com/

13. Thank you