Microeconomics- Business Decision making

Microeconomics- Business Decision making a)Explain the role of microeconomics in business decision making. Ans) The role of microeconomics in business decision making can be explained as under: 1) Optimal resource utilization: The productive resources are scarce in the economy and microeconomics tells how the productive resources are allocated in the production of various goods and […]

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Elasticity

Very short questions of Elasticity Define elasticity of demand. Ans) The elasticity of demand is the measure of responsiveness of demand for a commodity to the change in any of its determinants like price of the same commodity,price of the related commodity,income of the consumer,etc. What are the types of elasticity of demand? Ans)There are […]

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Demand

Demand ,Determinants of Demand Demand: The quantity of goods and services that consumer are willing and able to purchase in the market at various prices during a period of time is called demand. Determinants of Demand(Factors affecting demand): The various factors that affects demand of a commmodity are as follows: a. Price of a commodity: […]

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Ten principles of Economics

Nicolas Gregory Mankiw’s Ten Principles of Economics:   Nicolas Gregory Mankiw is an macroeconomist and Professor of economics at Harvard University.Mankiw proposed 10 principles of economics which is unified by several central ideas.These 10 principles of economics offer an overview about what economics is all about. How people make decisions 1.People face trade off: To get […]

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