Economics activity includes all actions by human beings relating to the production, consumption, exchange and distribution of goods and services. Human beings live in organized societies. In each society there are laws and customary rules regarding the holding of property, employment of labour; methods of exchange etc. There are also social institutions (like the joint family and the caste system of India) which influence economic life. The laws, customary rules and social institutions determine how and what goods and services will be produced in that society and how these shall be distributed among the people. The laws, customs and social institutions constitute the framework within which economic activities take place. There are following two main economic system: capitalism and socialism. Each has many varieties. In recent times a new system has emerged from an attempt to integrate the good features of Capitalism and Socialism. This is known as the Mixed Economy. The book is written keeping in view the specific need of students of BBA, B.COM, MBA, M.COM and research scholars. The book has many unparalleled features which make it distinct from other books.