what is business eronomics ? give its characferistics
Answers
ANSWER:
Business economics is also called normative economics which prescribes standards or norms for policy making. Business economics is prescriptive rather than descriptive in nature. In economic theory, we try to explain economic bahaviour: in business economics, we try to prescribe policies for a business manager which are most likely applied to achieve his objectives. In economic theory, we build ‘laws’ such as the law of Demand and the Law of Diminishing Returns. In business economics we apply these laws for policy planning at the level of a firm.
Answer:
Business economics is a field of applied economics that studies the financial, organizational, market-related, and environmental issues faced by corporations.
the main characteristic features of Business Economics which consitute the nature and subject matter. 1) Business Economics means the application of economic concepts, theories and principles to the business activities. 2) Business Economics is related with the micro-economics. It is micro in nature.