CA Foundation Paper 4 Business Economics Notes Quick Revision
Nature and Scope of Business Economics Topic: Unit - 1 (Introduction) (1) Economics owes its origin to the greek word "Oikonomia" which means management of household. 2) There are 2 Fundamental fact of Economy (1) Human wants are unlimited (ii) Means to satisfy these unlimited wants are relatively scarce (3) Business Economics: It is the application of economic analysis to make decisions in business operations. This concept was given by Joel dean in(1951) 🌟Q. What implication(s) does resource scarcity have for the satisfaction of wants? Answer Not all wants can be satisfied 🌟Q. Human wants are in response to satisfy their wants? Answer Unlimited Business Economics means decision making. (i) Business economics means use the economic analysis to make decisions involving the best use of an organization's scarce resources. (ii) Business economics are also known as Managerial economics. (iii) Business economics i...