Question

what is economic activities

Answer 1

Economic activities are those activities which contribute to the flow of goods and services in the economy .These activities add value to the national income.

Economic activities have two parts

( 1 ) MARKET ACTIVITIES

( 2 ) NON-MARKET ACTIVITIES.

Answer 2

Economic activity is the activity of making, providing, purchasing, or selling goods or services. Any action that involves producing, distributing, or consuming products or services is an economic activity.

All humans perform a variety of activities on any given day. There is work that we do every day and other activities we do for personal fulfilment and joy. So as a general rule, we can say that all the activities we do to earn a living are economic activities. All other activities are non-economic activities.

One way to identify economic activities is that they are driven by rationality and logic. The reason for performing such activities is for our own self-interest. We will gauge what returns we get in exchange for performing such activities. Non-economic activities, on the other hand, are done for emotional reasons or concern for another person. So all religious, charitable, social, patriotic, recreational activities are non-economic activities.

But it is not always easy to determine the nature of an activity. If you enjoy painting as a hobby it is a non-economic activity. However, if you sell your paintings then it becomes an economic activity. So the motive behind doing any activity is a strong indicator of its nature.

Hope it helps...:)