2. Basic Concepts Of Economics Flashcards
What is the difference between want and desire?
‘Desire’ is the wish to have something. But ‘want’ is an effective desire for a particular thing, which can be satisfied by making an effort to acquire it
What are primary wants?
Primary wants refer to wants for those goods which are necessary for the very existence of human life and for the maintenance of normal efficiency.
What are the two groups that make up primary wants?
a) Those wants which are necessary for the very existence of human beings. Eg. Food, clothing and shelter which are essential wants.
b) Wants for those goods which are necessary for maintaining normal efficiency of individuals. Eg. Tables and chairs are considered as necessities for students.
What are secondary wants?
They relate to wants for those goods which cater to comforts and luxuries of life. They only arise after primary wants are satisfied.
What are the two groups that make up secondary wants?
a) Wants for Comforts: These are the wants for those goods which are the source source of comfort and happiness for people.
b) Wants for Luxuries: Wants for luxuries refer to wants for those goods which are very expensive and which are meant to show the wealth and power of a person.
What are the features of Human Wants?
