Microeconomics and Market Analysis Flashcards

Definition of Economics: Economics is a social science that studies how individuals, households, firms, and societies allocate their limited (scarce) resources among unlimited and competing wants. Because human wants are endless but the means to satisfy them are limited, every society must constantly make choices about what to produce, how to produce it, and for whom to produce. Economics is essentially the science of these choices.
Major Branches of Economics: Economics is broadly divided into two major branches