All Courses
Explore Courses UPSC Exam UPSC Test Series Free Notes EduRev Infinity Get the App Login Join for Free
Sign in Open App
Commerce Exam  >  Commerce Questions  >  The individuals or institutions which take de... Start Learning for Free
SaveJoin the Discussion on the App
The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc  are known as
  • a)
    Producers
  • b)
    Consumers
  • c)
    Government
  • d)
    All of these
Correct answer is option 'D'. Can you explain this answer?
Clear all your Commerce doubts with EduRev
Most Upvoted Answer
The individuals or institutions which take decisions regarding consump...
The correct answer is option 'D', which states that the individuals or institutions that take decisions regarding consumption, production, budget, taxation, policy, etc., are all of these - producers, consumers, and the government.

The individuals or institutions involved in decision-making can be categorized into three main groups: producers, consumers, and the government. Each of these entities plays a crucial role in the economy and has a significant impact on various aspects such as consumption, production, budget, taxation, and policy.

1. Producers:
Producers are individuals or organizations engaged in the production of goods and services. They make decisions related to production, such as what to produce, how much to produce, and how to produce it. These decisions are influenced by factors like market demand, resource availability, and production costs. Producers aim to maximize profits by efficiently utilizing resources and meeting consumer demands.

2. Consumers:
Consumers are individuals or households that purchase goods and services to satisfy their needs and wants. They make decisions regarding consumption, such as what to buy, when to buy, and how much to buy. Consumer decisions are influenced by factors like price, quality, availability, and personal preferences. Their consumption patterns impact the demand for goods and services, which, in turn, affects production decisions made by producers.

3. Government:
The government plays a crucial role in the economy by formulating and implementing various policies and regulations. It takes decisions regarding taxation, budget allocation, and economic policies to promote economic growth, stability, and social welfare. The government's decisions have a direct impact on producers and consumers. For example, tax policies can affect the cost of production and consumption, while budget allocation decisions can influence the provision of public goods and services.

In summary, the individuals or institutions involved in decision-making regarding consumption, production, budget, taxation, policy, etc., include producers, consumers, and the government. These entities interact and influence each other's decisions, shaping the overall functioning of the economy.
Community Answer
The individuals or institutions which take decisions regarding consump...
The individuals or institutions which take decisions regarding consumption ,production ,budget, taxation, policy , etc  are known asProducers, Consumers ,Government.
Attention Commerce Students!
To make sure you are not studying endlessly, EduRev has designed Commerce study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in Commerce.
Explore Courses for Commerce exam

Similar Commerce Doubts

Read the following passage and answer on the basis of the same : The subject-matter of economics is divided into two major branches—Microeconomics and Macroeconomics. Microeconomics studies the economic behaviour of individual economic units and individual economic variables, whereas macroeconomics deals with the functioning of the economy as a whole. Macroeconomics dealswith the broad economic aggregates or bigger issues, such as full employment, unemployment, full capacity, under capacity production, inflation or deflation, etc. Macroeconomics is concerned with the theory of national income, employment, aggregate consumption, savings and investment, general price level, economic growth, etc. Whereas, microeconomics is concerned with the theory of product pricing, factor pricing and consumer behaviour, etc.Positive economics is the branch of economics that concerns the description and explanation of economic phenomena. It focuses on facts and cause and effect behavioural relationships and includes the development and testing of economic theories. Positive economics is objective and facts based. Whereas normative economics is a part of economics that expresses value or normative judgments about economic fairness or what the outcome of the economy or goals of public policy ought to be. Normative economics is subjective and value based.For example, the statement, “government-provided healthcare increases public expenditures” is a positive economic statement and the statement, “government should provide basic healthcare to all citizens” is a normative economic statement.Q. .................. studies the economic behaviour of individual economic units and individual economic variables. (Fill up the blank with correct alternativ e)

Read the following passage and answer on the basis of the same :The subject-matter of economics is divided into two major branches—Microeconomics and Macroeconomics. Microeconomics studies the economic behaviour of individual economic units and individual economic variables, whereas macroeconomics deals with the functioning of the economy as a whole. Macroeconomics dealswith the broad economic aggregates or bigger issues, such as full employment, unemployment, full capacity, under capacity production, inflation or deflation, etc. Macroeconomics is concerned with the theory of national income, employment, aggregate consumption, savings and investment, general price level, economic growth, etc. Whereas, microeconomics is concerned with the theory of product pricing, factor pricing and consumer behaviour, etc.Positive economics is the branch of economics that concerns the description and explanation of economic phenomena. It focuses on facts and cause and effect behavioural relationships and includes the development and testing of economic theories. Positive economics is objective and facts based. Whereas normative economics is a part of economics that expresses value or normative judgments about economic fairness or what the outcome of the economy or goals of public policy ought to be. Normative economics is subjective and value based.For example, the statement, “government-provided healthcare increases public expenditures” is a positive economic statement and the statement, “government should provide basic healthcare to all citizens” is a normative economic statement.Q. Macroeconomics is concerned with the theory of national income, employment, aggregate consumption, savings and investment, general price level, economic growth.

Direction: Read the following passage and answer the questions that follows:More specifically, a price ceiling (in other words, a maximum pric e) is put into effect when the government believes the price is too high and sets a maximum price that producers can charge; this price must lie below the equilibrium price in order for the price ceiling to have an effect.The price ceiling is usually instituted via law and is typically applied to necessary goods like food, rent, and energy sources in order to ensure that everyone has access to them.Benefits and Downsides:Price ceilings are beneficial to society, and are often necessary, in that they make sure that essential goods are financially accessible to the average person, at least in the short run. By lowering costs, price ceilings also have the beneficial effect of helping to stimulate demand, which can contribute to the health of an economy.However, there can also be downsides to price ceilings. While they stimulate demand, price ceilings can also cause shortages. Where the ceiling is set, there is more demand than at the equilibrium price. This means that the amount of the good or service supplied is less than the quantity demanded.For example, in agriculture, medicine, and education, many governments set maximum prices to make the needed goods or services more affordable. Producers may respond to such an economic situation by rationing supplies, decreasing production levels or lowering the quality of production, making the consumer pay extra for otherwise free elements of the good (features, options, etc.), and more.Q. How do the producers respond to the situation of price ceiling?

Direction: Read the following passage and answer the questions that follows:More specifically, a price ceiling (in other words, a maximum pric e) is put into effect when the government believes the price is too high and sets a maximum price that producers can charge; this price must lie below the equilibrium price in order for the price ceiling to have an effect.The price ceiling is usually instituted via law and is typically applied to necessary goods like food, rent, and energy sources in order to ensure that everyone has access to them.Benefits and Downsides:Price ceilings are beneficial to society, and are often necessary, in that they make sure that essential goods are financially accessible to the average person, at least in the short run. By lowering costs, price ceilings also have the beneficial effect of helping to stimulate demand, which can contribute to the health of an economy.However, there can also be downsides to price ceilings. While they stimulate demand, price ceilings can also cause shortages. Where the ceiling is set, there is more demand than at the equilibrium price. This means that the amount of the good or service supplied is less than the quantity demanded.For example, in agriculture, medicine, and education, many governments set maximum prices to make the needed goods or services more affordable. Producers may respond to such an economic situation by rationing supplies, decreasing production levels or lowering the quality of production, making the consumer pay extra for otherwise free elements of the good (features, options, etc.), and more.Q. When does the government put price ceiling?

Top Courses for CommerceView all

Top Courses for Commerce

The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer?
Question Description
The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer?.
Solutions for The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer? in English & in Hindi are available as part of our courses for Commerce. Download more important topics, notes, lectures and mock test series for Commerce Exam by signing up for free.
Here you can find the meaning of The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer?, a detailed solution for The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer? has been provided alongside types of The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice The individuals or institutions which take decisions regarding consumption ,production ,budget,taxation,policy ,etc are known asa)Producersb)Consumersc)Governmentd)All of theseCorrect answer is option 'D'. Can you explain this answer? tests, examples and also practice Commerce tests.
Explore Courses for Commerce exam

Top Courses for Commerce

Explore Courses

Suggested Free Tests

Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev
Get App
© EduRev
Education Revolution
Signup to see your scores go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup