One or more persons living together and having a common budget is called:a)A familyb)Organisationc)Householdd)All commodities in a houseCorrect answer is option 'C'. Can you explain this answer?

Question

Answer

A household is a place where all people are living on a common budget and share the resources.

Answer

Option C Is The Correct  Answer

Answer

A household is a place where al people are living on a common budget and share the resources.

Answer

We all know in household all people have same budget and and they all share from same resources..

Answer

Explanation:

Introduction:
In the context of this question, a household refers to one or more individuals living together and sharing a common budget. It is a basic unit of consumption and plays a crucial role in the economy. Understanding the concept of a household helps in analyzing economic behavior, expenditure patterns, and consumption trends.

Definition of a Household:
A household is a group of individuals, either related or unrelated, who live together and share common resources, expenses, and responsibilities. It can include a family consisting of parents and children, a group of friends sharing an apartment, or even individuals living alone but managing their finances collectively.

Key Characteristics of a Household:
- Living Together: A household implies cohabitation, where individuals reside in the same physical space, such as a house or an apartment.
- Common Budget: The members of a household pool their financial resources and contribute to a shared budget. This budget is used to meet common expenses, such as rent, utilities, groceries, and other household bills.
- Shared Responsibility: In a household, the members share responsibilities related to the maintenance and management of the living space, as well as the overall welfare of the group. This may include tasks like cooking, cleaning, paying bills, and taking care of children or elderly family members.

Importance of Understanding Households:
- Economic Analysis: Studying households helps economists understand consumer behavior, expenditure patterns, and preferences. It provides valuable insights into how individuals allocate their resources and make choices regarding consumption.
- Policy Formulation: Governments and policymakers analyze household data to develop effective policies related to taxation, social welfare, education, healthcare, and housing. This information helps in addressing the needs and concerns of different household types.
- Market Research: Companies and marketers rely on household data to identify target markets, customize their products or services, and devise marketing strategies. Understanding household demographics, income levels, and spending habits helps businesses cater to specific consumer segments.

Conclusion:
A household refers to a group of individuals living together and sharing a common budget. It is an essential unit of consumption and plays a significant role in the economy. Understanding households helps in analyzing consumer behavior, shaping policies, and conducting market research.

Similar Commerce Doubts

One or more persons living together and having a common budget is called

One or more persons living together and having a common budget is called

Khem argues that management is required in all kinds of organisations whereas Aman feels that management is not required in non-business organisation like charitable trusts,orphanages, government hospitals, etc,who is correct and why?

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