Microeconomics Notes for BBS

Ten Principles of Economics BBS First Year Microeconomics

Economics is all about making rational economic decisions in a state of scarcity. Economics study how scarce economic resources are allocated.And economics also analyzes the forces and trends that affect the economy as a whole, including the growth rate of output, the rate of the population that cannot find work, the rate at which price …

Ten Principles of Economics BBS First Year Microeconomics Read More »

Meaning and Nature of Business Economics

Business economics is a relatively new branch of economics developed in the 1950sBusiness economics refers to the application of economic theories, principles, and methods in the business or managerial decision-making process. It provides the base or criteria to the managers while solving the problems related to the allocation of scarce resources Business organizations face different …

Meaning and Nature of Business Economics Read More »

BBS First Year Microeconomics Note

Unit 1: Introduction to Microeconomics Meaning of Microeconomics Generally, the subject matter of economics is divided into two main branches. They are microeconomics and macroeconomics. The terms ‘micro’ and ‘macro’ were first used in economics by Norwegian economist Ragnar Frisch in 1933. These terms were derived from Greek words ‘MIKROS’ and ‘MAKROS’ respectively which refers …

BBS First Year Microeconomics Note Read More »

Meaning, Features, Scope, Uses, and Limitations of Microeconomics

ContentMeaning, Features, Scope, Uses, and Limitations of Microeconomics Meaning of Microeconomics Generally, the subject matter of economics is divided into two main branches. They are microeconomics and macroeconomics. The terms ‘micro’ and ‘macro’ were first used in economics by Norwegian economist Ragnar Frisch in 1933. These terms were derived from Greek words ‘MIKROS’ and ‘MAKROS’ …

Meaning, Features, Scope, Uses, and Limitations of Microeconomics Read More »

Consumer’s Surplus

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 …

Consumer’s Surplus Read More »