Alfred Marshall's Defination of Economics

Alfred Marshall is the leader of neo-classical Economist.In 1980AD he published a book in title ''principle of Economics''and defined the economics as a subject material of welfare.According to him ''Economics is a study of mankind in the ordinary business of life it examines that part of individual and social action which are most closely connected to the attainment and with the use of material requisite of well-being''.
The main points of the definition are as below
1 Mankind as a primary concern
This definition gives the primary concern to human beings and secondary concern to wealth. Wealth is for the benifit to mankind but mankind is no for wealth.
2Study of ordinary man
According to this definition economics is the general study of activities of ordinary man.It does not deals with the extraordanary man like saint,yogi,robber etc.
3Study of material welfare
According to this definition economics studies only those activities of man which are concern with the material welfare.
4Social science
this defination studies man who lives on the society.according to this definition economics is a social science.It studies the economics activities of those individual who lives in the society,it doesn't studies those individual who lives out of society.
5Normative science
This definition deals with the naormative science because it studies only those activities which are related to the material welfare.

Criticisms of Adam Smith defination of economics

Adam Smith defination was the first classical and systematic defination about economics it was popular in one time but when the definatiaon of economics give by Alfred Marshall as a science of material wealfare the defination of Alfred Marshall's was criticized widely.The main criticism of Marshall are as follows

1 Too much imphasis on wealth

This defination gives much more imphasis on wealth rather then the human beings.Wealth is only to fulfill the man wants therefore defination must emphasized in human beings then the study of wealth.
2 Narrow view of wealth
Acourding to this defination wealth included only the material goods and excludes the nonmaterial goods such as service of doctor,teacher,lawyer etc.But the service can also fulfill the human wants so that service has also inclued in this defination.
3 Concept of economic man wrong
This defination is based on the unrealistic concept of economics man but no man can limited with the earing of wealth.He can also involve in diffferent sections but this defination does not included such persons.
4 Ignored human wealfare
This defination doesn't gives more important to human wealfare.This defination only gives the important to the accomulation of wealth.It should also pay more attention to the aspect of human wealfare.

Adam Smith defination

Adam Smith defination of economics as a science of wealth.Adam Smith is a classical economist who gave the defination in a sysrematic and scientific way therefore he is recognized as a father of economics.In 1776AD he published a book in title ''An enquari to the nature and causes of wealth of Nation''and gives the defination as a science of wealth.Also this book is known as'' wealth of Nation'' .Accourding to him wealth is everythings as wealth has all round important in human life,all the activities of human are oriented with the earing of wealth.Such man is known as economic man and non economic man is out of the boundary of economics.
J.S.Mill,J.B.Say,David Recardo,T.R.Malthos etc supported this defination.

The main points of the defination are as follows
1Study of wealth
Accourding to Adam Smith's defination of economics,economics is a study of wealth.It deals with the production,consumption,exchange and distribution of wealth.
2 Main goal of human beings is to earn wealth
Accourding to him the main goal of human beings is to earn wealth because it satisfy the human wants and needs.
3 Primary place to wealth
The defination gives primary place to wealth and secondary place to human beings.
4Meaning of wealth
This defination only included material goods and doesn't include to immaterial good such as service etc.
5 Study of economic man
This defination han imagined only those man who are always involved in earing wealth.But does not include those man who are not involving in earing wealth but they are earing wealth.For examples retired persons,persons who are providing services and takking charge.

Basic Concept of Economics

The history of economics is as old as the history of mankind.Economic is a social science which studies the human behaviours related to the economic activities.Due to a time period change no one economits are agree on one degfination but up to now defination0f ec0nomics is divided in to three groups as a defination as wealth,wealfare and scarcity given by Adam Smith,Alfred Marshall and Lionel Robbins respectively.