Meaning: The term “trade cycle,” also known as the business cycle or economic cycle. It refers to the recurrent fluctuations in economic activity that occur over time in a market economy. These fluctuations typically involve…
Introduction: keynes theory is based on empirical foundation and has policy implication. Keynes did not have much faith in laissez- faire policy and its automatic adjustment for optimization. Explanation of Keynes theory favored capitalism he…
Introduction: Say’s law of market is the foundation theory of classical economics. Assumptions of full employment as a normal condition of a free market economy are justified by classical economics by a law known as…
Meaning: In economics, an indifference curve represents a graphical representation of combinations of two goods that provide a consumer with equal levels of satisfaction or utility. Indifference curves are used in microeconomics to illustrate consumer…
Meaning: The difference between micro and macro economics is huge. Microeconomics is a branch of economics that focuses on the behavior and interactions of individual economic units, such as households, firms, and industries, and their…
Introduction: In economic theory, the law of variable proportion occupies an vital place. It is one of the fundamental laws of production. The law of variable proportion is the new name for the well known”…
Meaning: The total income of the nation is called national income. The aggregate economic performance of the whole economy is measured by the national income data. In fact national income data provides summary statement of…
Meaning: The total income of the nation is called national income, the aggregate economic performance of the whole economics is measured by the national income data. In fact national income data provides summary statement of…
Introduction: National income accounting is not an easy task .A number of difficulties arise in the measurement of National income. Some of the difficulties in the estimation of national income are discussed below. Difficulties in…
Meaning: The total income of the nation is called national income. The aggregate economic performance of the whole economics is measured by the national income data. In fact national income data provides summary statement of…