What is Economics?

• Economics is a branch of social sciences which tells us how to utilize the scarce resources efficiently.

Economics is divided into two parts i.e. Micro Economics and Macro Economics.

• Micro Economics: In this branch of economics we study about the economy of an individual firm. For Example, Demand for television goes down that it may have an effect on the television industry only.

• Macro Economics: In this branch, we learn about the economy as a whole which may influence the various aspect of society. For example, Rise in prices of petrol may affect the other sectors of the economy and can influence the political situation of that region.