Family Economics And Consumer Education 3 (2+1)

Lesson 03 : Management of Wealth

Concept of wealth

Wealth consists of all goods which have exchange value. They are goods which are bought and sold for a price. They are not free goods. They are source in relation to demand and they posses utility. In general wealth consists of all economic goods.

Wealth is a result as well as a resource of management. Income is earned and wealth is accumulated. Accumulation of wealth is a long range process and seldom accumulates at one time.

Wealth is usually a product of previous income management and all the factors listed above, wealth can be built and preserved through management process.