• Economics is concerned with the fundamental principle upon which human activity revolves wants are unlimited while the resources available for their satisfaction are not.
  • Any economic system must determine what is to be produced from these limited resources, and how the resulting output is to be distributed amongst its population.
  • The human organization and economic machinery necessary for the resolution of this problem is a very complex matter, especially in a highly decentralized decision-making society such as their own private enterprise economy.