1) Economy is more than just the study of money.
Economy is concerned with production and consumption of goods and services. Economy is related with how much money people are paid, how much they spend, what it cost to buy various items, how much money there is in the economy, how much money a company earn. It is also concerned with production of goods and services, what particular combination of goods and services how much each firm produces, how much the economy produces; what techniques of production it uses; how many people it employs, the consumption of services and goods: how much the population as a whole spends and how much its saves; what pattern of consumption is in the economy; how much people buy of particular items; what particular individuals choose to buy; how peoples consumption is affected by fashion, advertising, prices, and other factors. Definition of economics is the social science that studies the choice of individuals, businesses, governments and entire societies make as they cope with the problems of scarcity. Economics is the study of how human coordinate their wants, given the institutional structures of the society.
2) Most human wants are unlimited; the world has got limited resources. Discuss these resource or factors of production.
The three types of resources are natural resources, human resources, and manufactured resources. The natural resources are land and raw materials. Land is input into production that is provided by nature. The world's land area is unlimited, as are its raw materials. The human resources are labor. Labor is all forms of human input, both physical and mental, into current production. The manufactured resources are capital. Capital is all inputs into production that have themselves been produced.
3) In the study of microeconomics and choice, there are three main choices that must be made in any society. Discuss.
In the study of microeconomics, there are three main categories of choices that must be made in any society.
