Introduction

This unit covers fundamental economic principles, focusing on concepts such as demand, supply, resource allocation, and market structures. Learners will explore microeconomic and macroeconomic concepts, including economic growth, inflation, and government intervention. By understanding these core principles, learners gain insights into how economies function and the factors influencing economic decision-making. This unit prepares students for further studies in economics and related fields.

Learning Outcomes

• Understand the central purpose of economic activity and the economic problem.
• Determine resource allocation in competitive markets.
• Understand production, efficiency, and economies of scale.
• Identify and explain market failure.
• Outline the need for government intervention in markets.
• Measure macroeconomic performance.
• Understand how the macro economy works.
• Describe objectives of government performance and economic performance.
• Understand microeconomic policy.