Alfred Marshall in his famous work ‘Principles of Economics’ explained the concept of producer surplus. This concept measures the benefit that sellers receive from participating in the market. Therefore, producer surplus measures the welfare of the producer. Producer surplus is the benefit that producers receive over his cost of providing goods against what he is […]
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Arsène Jules Étienne Juvenel Dupuit introduced the concept of consumer’s surplus in 1844. It was further developed by Alfred Marshall in his famous book “Principles of Economics” in 1890. Prof. Boulding named it ‘Buyer’s Surplus”. In general, consumer surplus is realized in highly useful but relatively cheap commodities. Consumer surplus is defined as the difference
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Consumer behavior is the study of how individuals or groups of consumers select goods and services to satisfy their wants. It is concerned with all the aspects of purchasing behavior of consumers. Thus, consumer behavior is concerned with how individuals make decisions to spend their available resources to satisfy their needs. This theory is based
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Quantitative Techniques (QT) refer to the techniques of using mathematics and statistics jointly. QT in economics refers to the use of mathematics and statistics in economic analysis/the use of mathematics and statistics in economic analysis is called quantitative technique in economics. The main purpose of employing quantitative techniques/analysis in economics is to provide diligence in
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Nepal is one of the least developed countries in the world and is officially the Federal Democratic Republic of Nepal. It is a landlocked country having low per capita income and mass poverty. The structure of the economy is fragile, the economic environment is less favorable, the performance of the economy is weak, and development
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Development economics or economics of development and planning is a relatively new concept and has gained popularity in a short time. This has thus become a separate branch of economics. The concept of economic development is related to developing countries as such countries are suffering different types of social problems like poverty, inequality, unemployment, inadequate
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Macroeconomics is the branch of economics that deals with economic activity on a large scale. It means macroeconomics is the study of the whole economy in terms of the total amount of goods and services produced, total income earned, total consumption, the investment made and stock of capital, the level of employment of productive resources,
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