SlideShare a Scribd company logo
Economics-Introduction
Economics- Defination
• Economics refers to choices or decisions made by individuals,
businesses, and governments regarding the production, distribution,
and consumption of goods and services. It also studies their resource
allocation for the same during scarcity. In short, it is a branch of social
science dealing with the interaction of people with value.
Microeconomics
• It studies the behavior of individual consumers and decision-making by
producers in times of scarcity. Other essential functions of it include:
• Examining market structures and how entities interact to create economics
systems
• Analyzing the impact of supply or demand in economics on production and
price
• Understanding ways to reduce costs and increase profits
• Studying the distribution of scarce resources by individuals and businesses
• Explaining interaction of the people with value
Factors
• It considers the following factors to understand the behavior and decisions of individuals and firms:
 The elasticity of Demand: It refers to the demand and response of consumers to price.
 Law of Supply and Demand: The higher the price, the lower the demand and increased supply. The lower the price, the higher the
demand and decreased supply.
 Utility: The ways goods or services are beneficial to consumers.
 Fixed Costs and Variable Cost: These associate with the production of goods and services. Variable cost varies with the volume of
production, while fixed cost does not change.
 Marginal Cost: It is the additional cost to increase the production of goods and services.
 Opportunity Cost: It incurs upon deciding to allocate a scarce resource and signifies the value or benefit missed when choosing
one option over another.
 Market Failure and Externalities: It happens when businesses do not assign prices effectively to consumers. It may lead to
negative and positive externalities.
 Market Structures: It comprises perfect competition, monopoly, duopoly, monopolistic competition, oligopoly, monopsony,
and oligopsony. These terms explain the competitiveness of the market.

More Related Content

Similar to Micro Economics.pptx

Basic Economics.pdf
Basic Economics.pdfBasic Economics.pdf
Basic Economics.pdf
TariqulIslamTareq4
 
BBA Economics.pptx
BBA Economics.pptxBBA Economics.pptx
BBA Economics.pptx
DeePesh468283
 
Building economics
Building economicsBuilding economics
Building economics
VatshalyaKaushal
 
Economics for managers
Economics for managersEconomics for managers
Economics for managers
Janak Secktoo
 
managerial economy
managerial economymanagerial economy
managerial economy
Patel Amarjit
 
Main
MainMain
Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...
Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...
Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...
samiyatazeen2
 
Basic concept of economics
Basic concept of economicsBasic concept of economics
Basic concept of economics
Dr. Shweta Uppadhyay
 
as economics key terms
as economics key termsas economics key terms
as economics key terms
Naibkh
 
Economic problems 2
Economic problems 2Economic problems 2
Economic problems 2
Abhishek Mittal
 
Economics
EconomicsEconomics
Economics
mecheman
 
Market economy.pptx
Market economy.pptxMarket economy.pptx
Market economy.pptx
Jon Newland
 
Economics
EconomicsEconomics
Economics
mhALZz
 
Economics and Business Management
Economics and Business ManagementEconomics and Business Management
Economics and Business Management
lakmioshi
 
Jade june Macro Economics
Jade june Macro EconomicsJade june Macro Economics
Jade june Macro Economics
Jade June Calibo
 
Business environment
Business environmentBusiness environment
Business environment
Siddharth Singh
 
Concepts in economics
Concepts in economicsConcepts in economics
Concepts in economics
Sandy Karkera
 
Managerial economics
Managerial economicsManagerial economics
Managerial economics
Kinnar Majithia
 
Introduction to business 1
Introduction to business 1Introduction to business 1
Introduction to business 1
psanandres
 
Economics FOR engineers
Economics FOR engineersEconomics FOR engineers
Economics FOR engineers
Jitesh Kaushik
 

Similar to Micro Economics.pptx (20)

Basic Economics.pdf
Basic Economics.pdfBasic Economics.pdf
Basic Economics.pdf
 
BBA Economics.pptx
BBA Economics.pptxBBA Economics.pptx
BBA Economics.pptx
 
Building economics
Building economicsBuilding economics
Building economics
 
Economics for managers
Economics for managersEconomics for managers
Economics for managers
 
managerial economy
managerial economymanagerial economy
managerial economy
 
Main
MainMain
Main
 
Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...
Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...
Economics, Theory of Demand & Supply, Micro & Macro Economy, Economy of Scale...
 
Basic concept of economics
Basic concept of economicsBasic concept of economics
Basic concept of economics
 
as economics key terms
as economics key termsas economics key terms
as economics key terms
 
Economic problems 2
Economic problems 2Economic problems 2
Economic problems 2
 
Economics
EconomicsEconomics
Economics
 
Market economy.pptx
Market economy.pptxMarket economy.pptx
Market economy.pptx
 
Economics
EconomicsEconomics
Economics
 
Economics and Business Management
Economics and Business ManagementEconomics and Business Management
Economics and Business Management
 
Jade june Macro Economics
Jade june Macro EconomicsJade june Macro Economics
Jade june Macro Economics
 
Business environment
Business environmentBusiness environment
Business environment
 
Concepts in economics
Concepts in economicsConcepts in economics
Concepts in economics
 
Managerial economics
Managerial economicsManagerial economics
Managerial economics
 
Introduction to business 1
Introduction to business 1Introduction to business 1
Introduction to business 1
 
Economics FOR engineers
Economics FOR engineersEconomics FOR engineers
Economics FOR engineers
 

More from anjalisaluja6

introduction to sales management
introduction to sales managementintroduction to sales management
introduction to sales management
anjalisaluja6
 
Macro Economics.pptx
Macro Economics.pptxMacro Economics.pptx
Macro Economics.pptx
anjalisaluja6
 
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
anjalisaluja6
 
Presentation.pptx
Presentation.pptxPresentation.pptx
Presentation.pptx
anjalisaluja6
 
forms of communication-.pptx
forms of communication-.pptxforms of communication-.pptx
forms of communication-.pptx
anjalisaluja6
 
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
anjalisaluja6
 
SALES MANAGEMENT.pptx
SALES MANAGEMENT.pptxSALES MANAGEMENT.pptx
SALES MANAGEMENT.pptx
anjalisaluja6
 
Niteesh Kumar(SM).pptx
Niteesh Kumar(SM).pptxNiteesh Kumar(SM).pptx
Niteesh Kumar(SM).pptx
anjalisaluja6
 
Presentation (Sales Management).pptx
Presentation (Sales Management).pptxPresentation (Sales Management).pptx
Presentation (Sales Management).pptx
anjalisaluja6
 
Corporate communication.pptx
Corporate communication.pptxCorporate communication.pptx
Corporate communication.pptx
anjalisaluja6
 
Group and Individual Presentation.pptx
Group and Individual Presentation.pptxGroup and Individual Presentation.pptx
Group and Individual Presentation.pptx
anjalisaluja6
 
Importance of Business Communication.pptx
Importance of Business Communication.pptxImportance of Business Communication.pptx
Importance of Business Communication.pptx
anjalisaluja6
 
Importance of Business Communication.pptx
Importance of Business Communication.pptxImportance of Business Communication.pptx
Importance of Business Communication.pptx
anjalisaluja6
 
International Communication.pptx
International Communication.pptxInternational Communication.pptx
International Communication.pptx
anjalisaluja6
 

More from anjalisaluja6 (14)

introduction to sales management
introduction to sales managementintroduction to sales management
introduction to sales management
 
Macro Economics.pptx
Macro Economics.pptxMacro Economics.pptx
Macro Economics.pptx
 
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
 
Presentation.pptx
Presentation.pptxPresentation.pptx
Presentation.pptx
 
forms of communication-.pptx
forms of communication-.pptxforms of communication-.pptx
forms of communication-.pptx
 
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...business-communication-unit-2-speaking-listening-and-non-verbal-communication...
business-communication-unit-2-speaking-listening-and-non-verbal-communication...
 
SALES MANAGEMENT.pptx
SALES MANAGEMENT.pptxSALES MANAGEMENT.pptx
SALES MANAGEMENT.pptx
 
Niteesh Kumar(SM).pptx
Niteesh Kumar(SM).pptxNiteesh Kumar(SM).pptx
Niteesh Kumar(SM).pptx
 
Presentation (Sales Management).pptx
Presentation (Sales Management).pptxPresentation (Sales Management).pptx
Presentation (Sales Management).pptx
 
Corporate communication.pptx
Corporate communication.pptxCorporate communication.pptx
Corporate communication.pptx
 
Group and Individual Presentation.pptx
Group and Individual Presentation.pptxGroup and Individual Presentation.pptx
Group and Individual Presentation.pptx
 
Importance of Business Communication.pptx
Importance of Business Communication.pptxImportance of Business Communication.pptx
Importance of Business Communication.pptx
 
Importance of Business Communication.pptx
Importance of Business Communication.pptxImportance of Business Communication.pptx
Importance of Business Communication.pptx
 
International Communication.pptx
International Communication.pptxInternational Communication.pptx
International Communication.pptx
 

Recently uploaded

一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查
一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查
一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查
taqyea
 
What's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightnessWhat's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightness
Labour Market Information Council | Conseil de l’information sur le marché du travail
 
Who Is Abhay Bhutada, MD of Poonawalla Fincorp
Who Is Abhay Bhutada, MD of Poonawalla FincorpWho Is Abhay Bhutada, MD of Poonawalla Fincorp
Who Is Abhay Bhutada, MD of Poonawalla Fincorp
beulahfernandes8
 
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
Falcon Invoice Discounting
 
1. Elemental Economics - Introduction to mining.pdf
1. Elemental Economics - Introduction to mining.pdf1. Elemental Economics - Introduction to mining.pdf
1. Elemental Economics - Introduction to mining.pdf
Neal Brewster
 
Instant Issue Debit Cards
Instant Issue Debit CardsInstant Issue Debit Cards
Instant Issue Debit Cards
egoetzinger
 
Detailed power point presentation on compound interest and how it is calculated
Detailed power point presentation on compound interest  and how it is calculatedDetailed power point presentation on compound interest  and how it is calculated
Detailed power point presentation on compound interest and how it is calculated
KishanChaudhary23
 
快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样
快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样
快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样
5spllj1l
 
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptxOAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
hiddenlevers
 
Using Online job postings and survey data to understand labour market trends
Using Online job postings and survey data to understand labour market trendsUsing Online job postings and survey data to understand labour market trends
Using Online job postings and survey data to understand labour market trends
Labour Market Information Council | Conseil de l’information sur le marché du travail
 
FCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptxFCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptx
nalamynandan
 
Bridging the gap: Online job postings, survey data and the assessment of job ...
Bridging the gap: Online job postings, survey data and the assessment of job ...Bridging the gap: Online job postings, survey data and the assessment of job ...
Bridging the gap: Online job postings, survey data and the assessment of job ...
Labour Market Information Council | Conseil de l’information sur le marché du travail
 
Applying the Global Internal Audit Standards_AIS.pdf
Applying the Global Internal Audit Standards_AIS.pdfApplying the Global Internal Audit Standards_AIS.pdf
Applying the Global Internal Audit Standards_AIS.pdf
alexiusbrian1
 
一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理
一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理
一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理
otogas
 
The Impact of GST Payments on Loan Approvals
The Impact of GST Payments on Loan ApprovalsThe Impact of GST Payments on Loan Approvals
The Impact of GST Payments on Loan Approvals
Vighnesh Shashtri
 
5 Tips for Creating Standard Financial Reports
5 Tips for Creating Standard Financial Reports5 Tips for Creating Standard Financial Reports
5 Tips for Creating Standard Financial Reports
EasyReports
 
Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...
Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...
Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...
nimaruinazawa258
 
2. Elemental Economics - Mineral demand.pdf
2. Elemental Economics - Mineral demand.pdf2. Elemental Economics - Mineral demand.pdf
2. Elemental Economics - Mineral demand.pdf
Neal Brewster
 
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...
AntoniaOwensDetwiler
 
How Non-Banking Financial Companies Empower Startups With Venture Debt Financing
How Non-Banking Financial Companies Empower Startups With Venture Debt FinancingHow Non-Banking Financial Companies Empower Startups With Venture Debt Financing
How Non-Banking Financial Companies Empower Startups With Venture Debt Financing
Vighnesh Shashtri
 

Recently uploaded (20)

一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查
一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查
一比一原版美国新罕布什尔大学(unh)毕业证学历认证真实可查
 
What's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightnessWhat's a worker’s market? Job quality and labour market tightness
What's a worker’s market? Job quality and labour market tightness
 
Who Is Abhay Bhutada, MD of Poonawalla Fincorp
Who Is Abhay Bhutada, MD of Poonawalla FincorpWho Is Abhay Bhutada, MD of Poonawalla Fincorp
Who Is Abhay Bhutada, MD of Poonawalla Fincorp
 
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
falcon-invoice-discounting-a-premier-investment-platform-for-superior-returns...
 
1. Elemental Economics - Introduction to mining.pdf
1. Elemental Economics - Introduction to mining.pdf1. Elemental Economics - Introduction to mining.pdf
1. Elemental Economics - Introduction to mining.pdf
 
Instant Issue Debit Cards
Instant Issue Debit CardsInstant Issue Debit Cards
Instant Issue Debit Cards
 
Detailed power point presentation on compound interest and how it is calculated
Detailed power point presentation on compound interest  and how it is calculatedDetailed power point presentation on compound interest  and how it is calculated
Detailed power point presentation on compound interest and how it is calculated
 
快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样
快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样
快速办理(SMU毕业证书)南卫理公会大学毕业证毕业完成信一模一样
 
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptxOAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
OAT_RI_Ep20 WeighingTheRisks_May24_Trade Wars.pptx
 
Using Online job postings and survey data to understand labour market trends
Using Online job postings and survey data to understand labour market trendsUsing Online job postings and survey data to understand labour market trends
Using Online job postings and survey data to understand labour market trends
 
FCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptxFCCS Basic Accounts Outline and Hierarchy.pptx
FCCS Basic Accounts Outline and Hierarchy.pptx
 
Bridging the gap: Online job postings, survey data and the assessment of job ...
Bridging the gap: Online job postings, survey data and the assessment of job ...Bridging the gap: Online job postings, survey data and the assessment of job ...
Bridging the gap: Online job postings, survey data and the assessment of job ...
 
Applying the Global Internal Audit Standards_AIS.pdf
Applying the Global Internal Audit Standards_AIS.pdfApplying the Global Internal Audit Standards_AIS.pdf
Applying the Global Internal Audit Standards_AIS.pdf
 
一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理
一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理
一比一原版(UCL毕业证)伦敦大学|学院毕业证如何办理
 
The Impact of GST Payments on Loan Approvals
The Impact of GST Payments on Loan ApprovalsThe Impact of GST Payments on Loan Approvals
The Impact of GST Payments on Loan Approvals
 
5 Tips for Creating Standard Financial Reports
5 Tips for Creating Standard Financial Reports5 Tips for Creating Standard Financial Reports
5 Tips for Creating Standard Financial Reports
 
Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...
Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...
Tdasx: In-Depth Analysis of Cryptocurrency Giveaway Scams and Security Strate...
 
2. Elemental Economics - Mineral demand.pdf
2. Elemental Economics - Mineral demand.pdf2. Elemental Economics - Mineral demand.pdf
2. Elemental Economics - Mineral demand.pdf
 
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...
 
How Non-Banking Financial Companies Empower Startups With Venture Debt Financing
How Non-Banking Financial Companies Empower Startups With Venture Debt FinancingHow Non-Banking Financial Companies Empower Startups With Venture Debt Financing
How Non-Banking Financial Companies Empower Startups With Venture Debt Financing
 

Micro Economics.pptx

  • 2. Economics- Defination • Economics refers to choices or decisions made by individuals, businesses, and governments regarding the production, distribution, and consumption of goods and services. It also studies their resource allocation for the same during scarcity. In short, it is a branch of social science dealing with the interaction of people with value.
  • 3.
  • 4.
  • 5. Microeconomics • It studies the behavior of individual consumers and decision-making by producers in times of scarcity. Other essential functions of it include: • Examining market structures and how entities interact to create economics systems • Analyzing the impact of supply or demand in economics on production and price • Understanding ways to reduce costs and increase profits • Studying the distribution of scarce resources by individuals and businesses • Explaining interaction of the people with value
  • 6. Factors • It considers the following factors to understand the behavior and decisions of individuals and firms:  The elasticity of Demand: It refers to the demand and response of consumers to price.  Law of Supply and Demand: The higher the price, the lower the demand and increased supply. The lower the price, the higher the demand and decreased supply.  Utility: The ways goods or services are beneficial to consumers.  Fixed Costs and Variable Cost: These associate with the production of goods and services. Variable cost varies with the volume of production, while fixed cost does not change.  Marginal Cost: It is the additional cost to increase the production of goods and services.  Opportunity Cost: It incurs upon deciding to allocate a scarce resource and signifies the value or benefit missed when choosing one option over another.  Market Failure and Externalities: It happens when businesses do not assign prices effectively to consumers. It may lead to negative and positive externalities.  Market Structures: It comprises perfect competition, monopoly, duopoly, monopolistic competition, oligopoly, monopsony, and oligopsony. These terms explain the competitiveness of the market.