What is the relationship between Production and Consumption.

1.	What is the relationship between Production and Consumption.
Answer» Production: Conversion of a raw material into finished goods which can be utilized to satisfy needs is called production. In other words, creation of utility is called production. .Consumption: To satisfy needs directly by consuming goods and services is called consumption. The one who utilises the goods and services to satisfy his needs is called the consumer.

Answer»

Production: Conversion of a raw material into finished goods which can be utilized to satisfy needs is called production. In other words, creation of utility is called production.

.Consumption: To satisfy needs directly by consuming goods and services is called consumption. The one who utilises the goods and services to satisfy his needs is called the consumer.

Discussion

No Comment Found

Related InterviewSolutions

Clarify the merits and demerits of the socialist economy?
Explain with an example how economy is a system of mutual cooperation among producers.
How will you differentiate between the Indian Economy and the economy of a particular state as Rajasthan?
Who propounded the concept of socialist economy in the world?
What are the three ways of defining an economy?
Economics is the science of study related with the: (a) Political activities. (b) Economic activities. (c) Recreational activities. (d) Diplomatic activities.
This is not one of the factors of\ production: (a) Land. (b) Capital (c) Nature. (d) Labour.
What do you understand by the socialist economy?
Explain how ‘Economy is a system of livelihood’?
What are the main factors of production?

What is the relationship between Production and Consumption.

Discussion

No Comment Found

Related InterviewSolutions

Reply to Comment