Importance of comparative advantage
Comparative advantage is a fundamental concept in microeconomics. It explains how individuals, businesses, and nations can benefit from specializing in the production of goods and services in which they have…
The idea of invisible hand
The ability of free market to recorrect its failures and maintain reasonable equilibrium in the absence of much interventions are called the idea of invisible hand proposed by Adam Smith.…
The law of demand and supply
In economics, the law of demand and supply is the most fundamental law that helps to determine the prices of commodities. It is useful for both producers and consumers as…