FEATURES,USES,LIMITATIONS OF MICRO-ECONOMICS

Features / Characteristics of Micro Economics ↓Classical economists always insisted on micro economics because they believed that it is better to understand concept at individual level and then go for general (or macro) level. E.g. first understanding individual consumer behaviour and then analyzing the behaviour of entire market.  1. Nature of AnalysisIn micro economics, the behaviour of individual consumers and producers in detail is analysed. It is study of subject matter from particular to general.2. MethodMicro economics divides the economy into various small units and every unit is analysed in detail. It is a slicing method.3. ScopeMicro economic analysis involves product pricing, factor pricing and theory of welfare.4. ApplicationBoth...

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SCOPE OF MICRO-ECONOMICS

                              Commodity PricingPrices of individual commodities are determined by market forces of demand and supply. So micro economics makes demand analysis (individual consumer behaviour) and supply analysis (individual producer behaviour). Factor PricingLand, labour, capital and entrepreneur, all factors contribute in production process. So they get rewards in the form of rent, wages, interest and profit respectively. Micro economics deals with determination of such rewards i.e. factor prices. So micro economics is also called as 'Price Theory' or 'Value Theory'. Welfare TheoryMicro economics deals with optimum allocation of available...

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DEFINITION OF MICRO-ECONOMICS

Study of the economic behavior of individual units of aneconomy (such as a person, household, firm, or industry) and not of the aggregate economy (which is the domain ofmacroeconomics). Microeconomics is primarily concerned with the factors that affect individual economic choices, theeffect of changes in these factors on the individual decisionmakers, how their choices are coordinated by markets, and how prices and demand are determined in individual markets. The main subjects covered under microeconomicsinclude theory of demand, theory of the firm, and demand for labor and other factors...

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DEFINITION OF PERCEPTION

What Is Perception And How Does It Occur?What is the definition of perception? Think of it as the process of becoming aware of the world around you through your senses.Your senses play a critical role in perception and behavior. They not only allow you to perceive your environment, they also enable you to act in response to it.Sensation and perception psychology is one of the oldest fields of study in social psychology. Below I'm going to take you through the process we go through to become aware of anything in our environments.The Definition Of Perception: The Sensing ProcessPerception happens in one of five ways:You see something with your eyes Smell something with your nose Hear something with your ears Feel something with your skin Taste...

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MEANING OF PERCEPTION

Perceptions vary from person to person. Different people perceive different things about the same situation. But more than that, we assign different meanings to what we perceive. And the meanings might change for a certain person. One might change one's perspective or simply make things mean something else. This is a famous picture. What does it look like to you? Some people see a young lady looking away. Others see an old lady looking down. Depending on how you look at it, part of the picture might be the young woman's nose and eyelash, or it might be a wart on the old woman's nose. What is the young woman's ear might be the old woman's eye. What is the young woman's necklace might be the old woman's mouth. The picture hasn't really changed....

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FUNCTIONS OF MANAGEMENT

                                                                                            Management has been described as a social process involving  responsibility for economical and effective planning &  regulation of operation of an enterprise in the fulfillment of given purposes. It is a dynamic process consisting of various elements and activities. These activities are different from operative functions like marketing, finance, purchase etc. Rather these activities...

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