Chapter 1 | Class 11 | Introduction to Microeconomics | Powerpoint Presentation | Economics |

1. ADITYA JINDAL
XI C
1

2. INTRODUCTION
TO
MICROECONOMICS

3. ECONOMICS
It is a social science that
studies the manner in
which the society chooses to
use its limited resources
which have alternate uses to
produce goods and services
& distribute them among
different groups .

4. ECONOMY
An economy is a
system or a framework
which provides people
with the means to work
and earn a living .

5. WANTS UNLIMITED CHOICE
RESOURCES LIMITED
ALTERNATIVE
USES
CHOICE
Economics is a science of
human behavior …...

6. # Economics as a Social Science …
 It is social as it deals with human behavior
 It is science as it tries make laws using scientific
methods or by conducting experiments .
Social Science Economics

7. ECONOMIC
PROBLEM
Economic problem is the
problem of making
choices in the presence of
limited resources having
alternative uses and
unlimited human wants .

8. WHY DOES ECONOMIC PROBLEM ARISES
?
• Multiple human wants are there , after satisfying one
want , many more new wants grow up and these will go
endlessly .
Human wants are unlimited
• The resources like land , labour , capital and enterprise
are limited . If they are bring unlimited then there would
be no need to make the choice and hence , no
economic problem will be there .
Resources to satisfy wants are limited
• The resources or means are not only limited but can be
put to alternative uses . For ex – A plot of land can be
used for farming , construction of school , hospital , etc.
Resources or means have alternate uses

9. Economising
of Resources
It means making the
best possible use
of resources so
that maximum
satisfaction can be
achieved .​

10. THREE
PARAMETERS
MAXIMUM
OUTPUT
MINIMUM
COST
MAXIMUM
WELFARE OF
THE SOCIETY
THREE PARAMETERS OF ECONOMISING
OF RESOURCES

11. CENTRAL
PROBLEMS
OF AN
ECONOMY

12. CENTRAL
PROBLEMS
OF AN
ECONOMY
ALLOCATION
OF
RESOURCES
WHAT TO
PRODUCE
HOW TO
PRODUCE
FOR WHOM
TO PRODUCE
FULLER
UTILISATION
OF
RESOURCES
GROWTH OF
RESOURCES
CENTRAL PROBLEMS OF
AN ECONOMY

13. BRANCHES
OF
ECONOMY

14. MICROECONOMICS
• It is that branch of
economics that deals
with individual
economic units like a
firm , household or a
commodity .
• Ex - Income of a
consumer
MACROECONOMICS
• It is that branch of
economics that deals
with economy as a
whole or as a
aggregate .
• Ex – National income
BRANCHES OF ECONOMY

15. THANK
YOU