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

Trade Cycles

TRADE CYCLES

Meaning of trade Cycles

Trade Cycle refers to regular fluctuations in the economic activity in the economy as a whole.A feature of business cycle is boom being followed by depression ,recovery and again boom conditions in economy.
Business Cycles are regular fluctuations in income,output and employment.A business cycle invariably starts in industrial sector and then spreads itself over the other sectors quickly.
Trade cycles or business cycles are important feature of capitalist economy. The expansion,recession,contraction and revivals occur and reoccur in an unchanged sequence.
It is composed of periods of good trade characterized by falling prices and low unemployment rate alternating with period of bad trade characterized by rising prices and high unemployment rate.
.
Characteristics of Trade Cycles

a)A trade Cycle is an economy-wide phenomenon.Once a phase of trade Cycle started ,it will soon spreads to other fields .
b)A trade Cycle shows a wave like variation in economic activity.
c)Business fluctuations tends to recur . They come again and again after the lapse of some time .
d)Trade Cycles are self reinforcing or cumulative. Once the cyclical movements stats in one direction,it tens to feed on itself.
e)No trade Cycles are identical . Expansion may last longer than contraction.
f)It is irregular or non periodic in nature.

Criteria set for knowing trade cycle 

a) Consumption :It is with the depression period. There is sudden fall in consumption level of consumers. Similarly , the recovery period shows rise in per capita real consumption.

b)Production :During depression,capital goods industries shows fall in production initially  and other industries are affected later. Similarly ,during recovery capital goods output increases.

c) Employment: Recession is indicated by unusual lay off of workers in major industries .The level of open unemployment significantly goes up. Likewise, recovery shows more and more jobs are available.

d)Price: Prosperity phase is associated with rise in prices and depression phase is associated with fall in prices both showing Cyclical changes.

Comments

Post a Comment

Popular posts from this blog

Factors of production

Factors of production  The factors of production viz. land, labour, capital and management when combined in proper proportion and then used wisely can help to achieve higher level of efficiency in farming business. Use of any resource beyond its capacity can result in its rapid depletion and deterioration which may cause severe damage to sustainability of farming. Similarly, under utilization of resources or misutilization of resources may result in high cost of production and thus lower the efficiency of agriculture.  Contribution of Land in agricultural development Land in agriculture may  be used in a restricted sense though is complex and affects agriculture in several ways. It is essential for the habilitation of human beings and other living creatures. It is required for agricultural operation ,development of industries, growth of forest, building, road and rail transportation system on its surface. The contribution of land in agricultural development can be judged ...
Post a Comment
Read more

FUNCTIONS OF MONEY

FUNCTIONS OF MONEY Various functions of Money can be classified into three broad groups: a) Primary functions b) Secondary functions c) Contingent functions d) other functions Primary functions   a) Medium of exchange : Money must be commonly accepted by the people in exchange of goods and services to be successful medium of exchange.Money benefits the society in number of ways as a medium of exchange. -It offers sales and purchases through money. -It promotes transactional efficiency. -It allows freedom of choice . b) Measure of value : Money serves as common measure of value in terms of which value of all goods and services is measured and expressed. It has made transactions easy and simplifies the problem of measuring and comparing prices of goods and services. c) Unit of account : As a unit of account, it helps in developing an efficient accounting system . It provides basis for keeping account ,estimating national income,cost of a project etc. Secondary functions a) Standar...
Post a Comment
Read more

Role of capitalism

ROLE OF CAPITALISM IN DEVELOPING ECONOMY Capitalism is that part of the economics where there is no role of government agencies. The sole supe power of capitalism is in the hands of private owners. This means that if private is working on the behalf of government, instead of social welfare, their main objective is to have profits. Features Lack of intervention of government. Role of private firms. Role of price mechanisms. Advantages Encourages innovation Efficient firm incentives Consumers can choose services of their choice. Prevents government from interrupting. Creates climate of innovation and economic expansion. Helps in increasing GDP. Disadvantages Firms can gain monopoly power. Externalities damages the environment. Prone to boom and bust in the economic cycles. Inequality creates social division. Capitalist market crashes causes economic downturn , uneven business cycles. There is difficulty in mobilising unprofitable sector into profitable sectors. By taking advantage of poo...
Post a Comment
Read more