Found 107 Articles for Articles / Tutorial Titles

Global Poverty Scenario To check the global poverty scenario, we must first define what is poverty according to global terms. The World Bank defines poverty as an income of less than $1.9 per day and according to this standard, global poverty has declined from 36% in 1990 to 10% in 2015. Although there is a marked decrease in global poverty, there are regional disparities. Poverty in China and other Southeast Asian countries has declined rapidly due to rapid economic growth and investments in Human Resource Development. China’s poverty came down from 88.3% in 1981 to 14.7% in 2008. ... Read More

Poverty is one of the major challenges for developing countries like India. Poverty affects human resources and lets people perform weakly in terms of economic growth. As people suffering from poverty cannot take part in economic growth, it acts as a burden on economic growth. Therefore, poverty acts as a challenge for the government and economists in countries like India. Two Typical Cases of Poverty Depending on the demographics, poverty can be divided into two typical cases − Urban Cases Rural Cases. Urban Case In the urban case, the poverty seen in urban locations is considered. ... Read More

In economics, people or members of the economy are also considered resources. People who are part of the workforce contribute to the economy in various ways. Through their tasks, people play an important role in the growth of the economy. Their contributions not only help the economy grow but also provided support to build an economic structure for the advancement of a country. Therefore, people must be considered as resources for an economy. Human Resource Development (HRD) Human resource development or HRD is the process of improving the productivity of a company by considering the employees as resources and ... Read More

What is an Organization of Economic Activities? All economic activities in an economy occur in the market. A market is a central organization through which all economic activities take place. Markets enable free economic transactions of individuals who have their own economic aims or goals. The prices of goods and services are reached by the consensus between buyers and sellers. The market acts as an agent that lets people with different goals freely interact with one another. This interaction also includes the consensus that is reached between two parties regarding the price of a good or service. Goods are ... Read More

It is a major concern in economics to check the output levels due to changes in inputs. As is notable, there may be changes of various amounts in inputs, such as changes in one factor or changes in all factors. Moreover, these changes in inputs may be proportional or random. Depending on the rate of change of inputs various types of returns to scale can be achieved. Returns to Scale Returns to scale is the rate of change of output when all inputs are changed by the same factor. In other words, returns to scale is the rate of ... Read More

It is important in economics to see the changes in one variable due to changes taking place in other variables. Such comparisons are central to the ideas of economic changes. The elasticity of demand is such a concept that relates the changes in one variable to the changes taking place in other variables. What is Elasticity of Demand? In general, elasticity means the sensitivity of a variable to changes in other variables. In the case of price elasticity of demand, the changes in demand are checked against the changes in the price of a product. In economics, price elasticity is ... Read More

Simple monopoly refers to a situation where there is only one major producer of a certain product or bundle of products in the market. The product of a monopolistic firm is unchallenged in the market. So, the monopoly firm can set prices or make changes to the product as and when it wishes. Also, the monopolistic product means that it is not substitutable in the market. Types of Revenue: Total, Average, and Marginal Revenue Enterprises usually tend to set a cost price for their products that equals the market requirements determined by supply and demand. However, this does not ... Read More

Equilibrium is a state of the market in which demand and supply are balanced due to which prices are stable. There are several types of equilibrium in economics, but in general, price equilibrium is considered market equilibrium. The perfect equilibrium of a market is hypothetical and it is impossible to obtain perfect equilibrium in markets. Equilibrium: Excess Demand and Excess Supply According to the market equilibrium theory, demand should meet supply. However, when the price of a product goes below the equilibrium price, excess demand takes place. In such circumstances, the quantity of products received from the manufacturers is ... Read More

Economists are usually interested to understand the relationship between inputs and outputs to check the production of goods. Inputs and outputs can be linked on various grounds. Sometimes, inputs may be changed while in some cases some inputs may be kept constant to check the various output levels. Depending on these variable inputs, three types of product outputs can be obtained, namely − Total Product Average Product Marginal Product Total Product Also known as a total return or total physical product of a variable input, the total product of the variable input is obtained when only one input ... Read More

What is Consumer Preference? Consumer preference is the subjective taste of individual consumers that is measured by the satisfaction they derive from an item after they buy it. It is often expressed through utility. The value of the items consumers buy can be compared by measuring the utility of the items. Consumer preference is an important topic in economics. The use of consumer preference is applicable in other schools of thought too. For example, marketing departments keep an eye on consumer preference to check which product has higher demand in the market. They can also use it to check ... Read More