What Is The Economic Principle?

  • What Is The Economic Principle?

    The economic principle or principle of profitability is a principle of economic action. The aim is to optimally use one’s own economic opportunities. They can formulate it as a maximum or minimum principle. With the maximum principle, you can seek the best possible result with the available resources. With the minimum principle, you need to achieve a given goal with the least possible effort.

    The state as an economic entity

    The public sector occupies an important place in economic life alongside the private sector.

    To a considerable extent, the state appears as an employer, so it asks for work from private households. It obtains goods and services from the companies. In turn, it provides numerous goods and services for a fee or free of charge.

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