Skip to main content

Land utilisation

  LAND UTILIZATION  Land is a scarce resource, whose supply is fixed for all practical purposes. At the same time, the demand for land for various competing purposes is continuously increasing with the increase in human population and economic growth.Land use pattern at any given time is determined by several factors including size of human and livestock population, the demand pattern, the technology in use, the cultural traditions, the location and capability of land, institutional factors like ownership pattern and rights scale regulation. Major Types of Land Utilization in India : As in all other countries, land in India is put to various uses. The utilization of land depends upon physical factors like topography, soil and climate as well as upon human factors such as the density of population, duration of occupation of the area,land tenure and technical levels of the people.There are spatial and temporal difference in land utilization due to the continued interplay of phys...
Post a Comment

PRODUCTION FUNCTION

PRODUCTION FUNCTION
Meaning : The relationship between the input and resulting output is generally summed up in mathematical form which is called as production function.The word 'function ' in mathematics means the precise relationship that exists between one dependent variable and many independent variables. 
The production function formalised the relationship between the maximum quantity of output yielded by productive process and quantities of various inputs used in that process.
Production function thus studies the functional relationship between physical inputs and physical outputs of commodity. It is purely technical relationship between material output on one hand and material inputs on the other. It is expressed in terms of following equation:
                Qx =f(l, k)
It means that production of commodity X is the function of labour (l) and capital (k).

Fixed factors are those the application of which does not change with the change in output. Fixed factors like machines is there even when output is zero.
Variable factors are those application of which varies with the change in output. Labour is an example of variable factor. Variable factor is zero when output is zero, it increases as output increases.

Total product is the sum total of output produced by all the units of variable factor along with some constant amount of fixed factors used in the process of production.
                    TP = sum of all the units 
Marginal product refers to the change in total product when one more additional unit of variable factor is used.
                    MP = TPn -TP n-1
Average product is the physical output per unit of variable factor used in the process of production. 
                             
                AP =_TP / L_______
                          

Comments

Post a Comment

Popular posts from this blog

BASICS OF MACROECONOMICS

Basics of Macroeconomics   a) Capital goods : Capital goods are described as fixed assets of producers which are used in the process of production for several years. Plant, heavy equipment, machinery are examples. b) Investment : Investment is a process of capital formulation also known as the process of increase in stock of capital .             I =∆k Where I is investment and ∆k refere to the change in capital stock during the year. There are two types of investment  Fixed investment refers to increase in stock of fixed assets of producers during the period of an accounting year .Plant ,machinery are some of its examples.It is also called as fixed capital formation. Inventory investment are those stock which keeps varying . At a point of time,producers have stock of finished goods ,semi finished goods or raw material . These are called as inventory investment. Change in the stock of these are called as inventory investment of producers. c) D...
Post a Comment
Read more

Insolvency and bankruptcy code

  Insolvency and bankruptcy code (IBC) 2016 IBC 2016 is a code which is not applicable to financial institutions like banks, pension funds, mutual funds. This means if company has taken loan from a bank and is not making repayment of its debt, bank can then move to National company law tribunal under IBC 2016 to declare the company bankrupt. To deal with the bankruptcy of financial institutions, Government is planning to bring " Financial Resolution and Deposit Insurance " (FRDI) bill. It is a system to deal with financial firms insolvency while at same time providing highest level of safety to the depositors .  This law is in dicussion since last 4 to 5 years, but still not passed by the parliament due to "Bail - in "clause. It states that in case there is bankruptcy or insolvency in bank, then depositors will have to give up some parts of their deposit to protect the bank. There is disagreement on this clause.  To conclude, The FRDI bill, 2017 was mea...
Post a Comment
Read more

SAARC

SOUTH ASIAN ASSOCIATION FOR REGIONAL COOPERATION (SAARC) Introduction    The South Asian association for regional cooperation comprises of Afghanistan, Bangladesh, Bhutan, Indian, Maldives, Nepal, Pakistan and Sri Lanka. The foreign ministers of these countries, at their first meeting in New Delhi in August 1983,adopted the declaration on SAARC and formally launched its Integrated Programme of Action IPA. SAARC has also nine observers - Australia, China, EU , Iran, Japan, Republic of Korea, Mauritius, Myanmar and USA. Meaning  The aim of the organisation is to accelerate the process of economic and social development in Member states joint action in agreed areas of cooperation. Observers are not allowed to be part of deliberations and their participation is limited to the inangural and closing sessions of the summit. Objectives   a)To promote the welfare of the people of South Asia and to improve their quality of life. b)To accelerate economic growth, social progess ...
Post a Comment
Read more