economics Project

Economic principles play a crucial role in the decision making of individuals, business firms and thus of society. The choices made by them are often influenced by these principles and this increases the scope of economics. Economics is the study of allocation of scarce resources, choices, and opportunity costs (Department of Economics Description and Mission of Department par. 1). The choices are made mainly for two purposes- consumption and production. The major economic principles that influence the choice of a society with the view point of a consumer are utility analysis, indifference curve analysis, and demand theories. The choices made by business firms are often influenced mainly by the principles of production function, cost analysis and supply theory. The important principles