wealth it is defined as the stock of goods and services existing in a country at a particular time which have a money value and yield satisfaction.
- It must posse’s utility i.e. it must yield satisfaction
- It must have money value i.e. wealth can be exchanged for money
- It must be limited in supply
- The ownership of wealth should be such that it can be transferred from one person to another
This is made up of personal properties like cars, piece of land, houses.
This type of wealth is made up of things like raw materials, factory buildings, machines etc. such wealth help in the production of other things.
This is wealth that is collectively owned e.g. town hall, community schools, church buildings. The properties are all owned by the states or local authorities.
It is the total stock of goods and services that is private and social existing in a country at a given time.
To an individual, money is part of his private wealth because he can use it to purchase the wealth of other people whereas to a nation, money is a claim of wealth i.e. it can be used in exchange of goods and services.
Welfare refers to the wealth being or standard of living of people i.e. the extend to which people can satisfy their wants
There is a direct relation between wealth and welfare in that it is an increase in the stock of goods and services (wealth leads to and increases in welfare or standard of living and vice versa),
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