Chap#2, Economic Problem

What is Economic Problem?

• Unlimited Wants and Unlimited Resources

• Unlimited Wants and Limited Means

parents can either buy medicines or toys with a limited amount of money.... This Economic problem can be solved by........

• The economic problem must be solved according to their state of preference.

• Buy both Medicine and toys

• Buy toys only

This rule of preference is proposed by

• Professor Lionel Robbins

• Professor Alfred Marshal

• Adim Smith

Means are Limited...here Means

• Resources

• Wants

Ends are unlimited...here Ends

• Resources

• Wants

Economics is closely related to our ordinary life.

• True

• False

The means to satisfy wants are scare

• True

• False

Choose Economic Problems

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Alfred Marshal

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Robbin Lionel

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