Question

Distinguish between economic and non-economic activities

Answer 1

economic activities are that activities in which we get payment for the work like - business and other work and non economic activities are that activities for which we did not get any payment like- household works etc. ..

Answer 2

Answer:

Economic Activities -

1. Are undertaken to create something useful, which can be sold or exchanged for something else.
2. Are performed with the motive of earning income or profit.
3. Are measured in monetary terms.
4. Results in creation and accumulation of wealth as they are done to earn profits.
5. Important for economy as they add value to country’s national income.
6. A teacher teaching in school for income is an economic activity.

Non Economic Activities -

1. Are undertaken with the aim to provide services without any regard to monetary gain.
2. Are performed due to social or psychological reasons like love, affection etc.
3. No money measurement. Are performed free of cost.
4. Results in mental satisfaction and happiness.
5. Have no direct influence on country’s national income.
6. A teacher teaching her child at home out of love is a non economic activity.

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