LAWS OF ECONOMICS
Like every other science. Economic too. has drawn its own set generalizations. which ale called the laws of Economics. These laws ale supposed to govern and explain all economic activity. In the words of Marshall, laws lay he defined thus:
Laws rue statements of formalities which govern human behavior concerning the utilization or limited resources for the achievement of unlined ends. These, short, arc the principles :locating to which we act when engaged in our ordinary or life or in an economics activity.
Nature Economic Laws
Nature or economic laws. What arc they like how do they compare with other laws’! Arc they like the government laws, or like the laws
of morality or like the laws of natural sciences’! The laws of the government arc coercive; there is a penalty attached to their breach. The laws of morality arc not so obligatory; they merely indicate how we should act in order to satisfy public opinion or our conscience. The laws of natural sciences can be stated.
To say that economic laws arc rico relative and that thcy havc no relevance out. ide certain historical conditions is wrong that they arc based on very wide human and have almost a universal applicability. though, wc repeat, economic policies have to be different for different countries, and for thc amc country at different times.