An Introduction to Economics

Definition

Many economists have defined economics in different ways and there is no universally accepted definition of economics. There are divergent views with regard to the necessity of a definition for Economics. The difference of opinion regarding the definition of economics has led many economists to opine that it is neither necessary nor desirable precisely to define economics. The prominent economists of this opinion are Maurice Dobb, Comet and Gunnar Myrdal. They believe that economics is a dynamic subject, it is growing. As new ideas are invented and old opinions revised, economics is a dynamic subject, it is growing. As new ideas are invented and old opinions revised, economics is acquiring new dimensions. Therefore, it is not possible to define economics in exact words. On the other hand Prof. Eric Role is of the opinion that it is necessary to define a subject for scientific and systematic study. Because of this controversy, J.M.Keynes aptly remarked that “Political Economy is said to have strangled itself with definitions”.

The scope of Economics as stated through definitions by Famous Economists are as follows :

1)   Classical View                     -     Wealth Definition ( Adam Smith and his followers ). Economics is a study of wealth.

2)  Neo Classical View               -     Welfare definition ( Marshall, Pigoue, Cannan etc ) Economics is a study of material welfare.

3)   Modern View                      a)    Scarcity definition (Prof. Lionel Robbins) Economics is a study of scarcity and choice.

                                                    b)  Growth definition : (Prof. Paul. A Samuelson) Economics is a study of changes and growth in means in relation to ends.

            Now let us discuss them in detail.