Maharashtra State BoardHSC Arts 12th Board Exam
Advertisement Remove all ads

Give Reason Or Explain the Following Statement: Micro Economics is Also Known as Price Theory. - Economics

Advertisement Remove all ads
Advertisement Remove all ads
Advertisement Remove all ads
Short Note

Give reason or explain the following statement:

Micro economics is also known as price theory.

Advertisement Remove all ads

Solution 1

Yes, Microeconomics is also known as price theory.

Reason: Microeconomics is primarily concerned with price determination of goods and services as well as factors of production. Therefore, it is also known as price theory.

Solution 2

We know that in microeconomics we study the behaviour of individual economic units such as the consumer and the producer. The basic aim of such a study is to determine the prices (in the commodities and factor markets). It is for this reason that microeconomics is also known as the price theory.

Concept: Micro Economics - Price Theory
  Is there an error in this question or solution?

APPEARS IN

Micheal Vaz Economics HSC 12th Standard Maharashtra State Board
Chapter 1 Introduction to Micro Economics
Exercise | Q 2.1 | Page 6
Advertisement Remove all ads
Share
Notifications

View all notifications


      Forgot password?
View in app×