When economic activity is low, firms reduce their workforce and unemployment rises.

Consumers play a vital role in the economy by driving demand for goods and services, which in turn stimulates production and economic growth

Consumers play a vital role in the economy by driving demand for goods and services, which in turn stimulates production and economic growth.

any activities which do not have any monetary motive and are performed with a feeling of love, sympathy, humanity, are known as non-economic activities. For example, playing in a garden, dancing, housewife cooking dinner for the family, or a boy helping an old man crossing a road.

Governments can influence the economy's performance through combined monetary and fiscal policies.

economic growth generally brings economic development alongside it, but this is not guaranteed.

Primary economic activities: These involve the extraction and harvesting of natural resources directly from the environment. Examples include farming, fishing, mining, and forestry. This sector provides raw materials needed for further processing.

Secondary economic activities: These activities focus on manufacturing and processing raw materials into finished or semi-finished products. Examples include factory work, construction, and industries such as automobile production and textiles. This sector adds value to raw materials by transforming them into goods.

Tertiary economic activities: These involve providing services rather than producing goods. Examples include healthcare, education, banking, retail, and transportation. The tertiary sector supports the primary and secondary sectors by offering various services necessary for their operations and functioning of society.