Economics Tutors for Class 6 - 8 in Vadodara

Cross demand means demand for any two goods or services which are not related to each other. For example demand for clothes, wheat, fuel etc

MP curve or the marginal productivity curve is downward sloping because of the law of increasing/decreasing return to scale applies. Initially production rises then falls and after that rises upto a maximun point.

Production possibiity curve or production possibility frontier is concave to the origin because if two or more goods are produced  within a fixed land production will be equal between two products but if only one item is produced, the production will be more if the land is fully utilised.

Limitation of resources and Unlimited wants

Copy mean replica of the original and the original is kept/preserved. But move means something new is made by amending the original and the the original is not kept/preserved.

Production possibility curve or production possibility frontier is concave to the origin because for producing  two kinds of goods,if one item is  increased the other item will have to be reduced because land is a fixed factor.that is ppc is concave to the origin. 

The  following are the non-economic goals of the firm.

1) production of quality goods/services at cheaper price.

2) creation of employment at a larger scale.

3) social service towards the community.

4) welfare of their people under their employment.

5) adherence to the monopolies and restrictive trade practices act,1969 .

6) not to do unfair trade practices and indulge others not to do the same strictly.

Production possibility curve/ production possibility frontier refers the combination of two products by combining themselves increase of on item will reduce the another item. AS It originates from the beginning /starts from o it is called concave to the origin.

Agriculture

ADAM SMITH