Important Definitions

      


          Wealth Definition: The first economist who defined Economics was "Adam Smith" who is regarded as the father of  Modern Economics. In his famous book. "An Enquiry into the Nature and Causes of  Wealth of  Nations" (1776). Smith defined economics as 'a science of wealth'.According to Adam smith, Economics is a study of the nature of wealth, its generation and spending.

     Welfare Definition:  A prominent critic was the neo-classical economist Alfred Marshall. Marshall shifted the emphasis from wealth to welfare. In his famous work "principles of  Economics"(1890),  Marshall defined Economics in the following words: "Economics is a study of  mankind in the ordinary  business of life. It examines that part of individual and social action which is most closly connected with the attainment and side a study of wealth: on the other and more important side, a part of the study of man. "The definition came to be known as the welfare definition.

          Scarcity Definition:  the central issue of scarcity of resources in relation to wants was emphasized by Lionel Robbins in his famous book, The Nature and Significance of  Economics Science' (1932) defined Economics in the following words: "Economics is a science which studies human behaviour as a relationship between ends and scarce means which have alternative uses. " This definition came to be known as the scarcity definition.
  

         

               Growth Definition   A widely accepted definition is the Growth definition put forward  by Paul A. samualson. According to samualson, "Economics is a study of  how  men and society choose, with or without the use of  money, to employ scarce productive resources, which could have alternative uses, to produce various commodities over time and distribute them for consumption now and in the future among various people and groups of scociety. "; This definition is  widely accepted because it is  very comprehensive. it encompasses almost all  central concerns of Economics.