Social Science

Economics

Water

Satisfaction

Wants Unlimited in Number

Good and Services

Resources Scarce

Choice

Is a

And is the sum total of

Which is the sum total of

Which is obtained by satisfying

Which is done by consuming

Which we produce from

This scarcity of resources requires

For best buy and production

Which is explained by

Which are

Which are

(Want (demand

Desire

Money

How much of a good a person would actually be willing to buy

at a given price

Kinds

Complementary

Competitive

Derived

Aggregate

Individual

Cross Elastic demandNecessities

Comforts

Luxuries

Resources

SocietyIndividuals

As BuyersAs Buyers As Producer

Outside CountryInside Country

Gold / ForeignCurrency

Money - HomeCurrency

Money

A- LabourSkilled Ls

Unskilled Lus

B- Capital K

C- Raw Materials Rm

D- Foreign Exchange Fe

Production = Ls+Lus+K+Rm+Fe

Production is a function of

Institution Which Allocate Resources

Only Governmentas in Communist countries

Social Preferences

Both Government / MarketOnly Market

as in Capital countries

Social and Individual Preferences

Individual Preferences

Guided by

Division of the School of Economic

Classical School

Author Wealth of Nations 1776Economy and Taxation 1817

Neo-Classical School

General Theory of Employment Interest and Money 1936