Economics (Introduction-2)

Thus, Economics means ‘House Management’. The head of a family faces the problem of managing the unlimited wants of the family members within the limited income of the family. Similarly, considering the whole society as
a ‘family’, then the society also faces the problem of tackling unlimited wants of the members of the society with the limited resources available in that society. Economics; thus, would mean the study of ways in which mankind organizes itself to tackle the basic problem of scarcity of resources. All societies have wants more than resources available to satisfy them. Hence, economics is the study of alternate systems requisite to allocate these resources between competing ends.