The wealth definition is the fundamental definition of economics. The economics is derived from the Greek word oikos and Nomos which means household and management .So in its original sense, economics means house hold management that is satisfying as many wants of the family as possible by economizing or wisely allocating the limited resources at the disposable of the family among different wants or uses. it may be noted that Aristotle the famous Greek philosopher considered economics as the art of household management.

Today the art of household management is provided by everybody that is; govt. as well as individuals. For the management or solution of the day to day economics problem, arising from unlimited wants and limited resources by economising or distributing wisely the limited resources among different use. In other word economics is a study of how many uses his limited resources wisely and satisfies as many wants as possible. In short economics is the science that studies how human beings try to satisfy their unlimited wants with limited means or resources.

Definition of Economics:

Definition of economics means the   description of the nature of economics. In short, it means the meaning of economics. The object of defining economics is to point out what economics is and what it is not.

There are many definitions of economics. But they are classified into four groups they are.

• Classical or wealth definition
• Neo-classical or welfare definition
• Scarcity definition
• Modern or growth- oriented definition

WEALTH DEFINITION

 Adam Smith the father of Economics gave the wealth definition of Economics which is also called as classical definition of Economics. He defined Economics in his famous book called an enquiry in to the nature and causes of wealth of nation in 1776 which popularly known as wealth of nation .He said economics is a science which studies the nature and causes of wealth.

The followers of Adam Smith were J.B Say, J.S Mill, N.W Senior, F.A Walker etc. In the view of these economists accumulation of wealth is the main aim of economic activity such as Production, Distribution and Exchange.

CHARACTERISTICS OF WEALTH DEFINITION

1. The study of wealth is Economics which deals with production, exchange and distribution of wealth.
2. Only material goods or commodities are considered as wealth which are scarce and useful. Non material goods, services and the goods which is freely available in the nature are not wealth according to wealth definition.
3. According to wealth definition economics studies the causes of wealth which brings economic development.  Adam smith supports that, to increase wealth production, the production of material goods will have be increased. This can be done with the help of division of labour, increase in demand, investment and of course with free economy.

CRITICISM OF WEALTH DEFINITION

The wealth definition came in for severe criticism from literary men and social reformers like Thomas Carlyle, John Ruskin, and Mathew Arnold Dickson etc. The criticism is as follows.

• Much importance given to wealth: Wealth has been given much importance in economics. So Carlyle stated economics as pig philosophy, because it is supported acquisition of wealth.
• Absence of man’s Welfare: The wealth definition has not given any importance to the economic welfare of the society. It gives importance only to the accumulation of wealth.
• No mention of means: This definition makes the earnings or accumulation of wealth is an end itself. It does not tell about the purpose of means of earning wealth.     
• The meaning of wealth was restricted: According to wealth definition material goods only are considered as wealth, but modern economists used the word wealth for both goods and services. Thus the meaning and scope of wealth was restricted.

 CONCLUSION.

It is true that the wealth definition is defective in certain aspects, but it is not completely wrong. Achieving wealth is one of the aims of human activity. So we can conclude that wealth definition is incomplete but not wrong.

also read: explain the growth definition of economics?