Meaning and Definitions of Economics

ECONOMICS Meaning: Economics is characteristically a social science as it deals with Man’s behavior as a member of society. A man’s behavior is to satisfy wants and the utilization of available resources, which is the ordinary business of man’s life. Adam Smith is regarded as the father of economic science as he made it a scholarly discipline with the publication of his celebrated book, The Wealth of Nations, in 1776. Economics, as a social or behavioral science is comparable with political science, sociology, psychology and ethics, each or which studies a different aspect of man’s social life and behavior. For instance, political science deals with man’s relation with state, sociology broadly examines man’s social relations, ethics concerned with morality while psychology studies man’s mind. Likewise, Economics studies man’s behavior in relation to wants and resources. Economics is a full-fledged social-science, for it is a body of knowledge in which the various facts relevant to man’s economic behavior and the economic life have been systematically collected, co-coordinated, processed, analyzed, and presented in an orderly way. Definitions: Early definitions of the science of Wealth: Adam Smith: According to Adam Smith Economics was concerned with “An Enquiry into the Nature and Causes of Wealth of Nations.” J.E. Cairnes: “Economics deals with the phenomenon of wealth. F. A . Walker: Economics is that body of knowledge which relates to wealth.