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Answer» Major criticism of Marshall’s definition is as follows Marshall’s definition was welfare centred and thus has following criticism: - Classification of resources on the basis of physical and non physical nature : Marshall limited the study of the subject-matter of economics to the acquisition and consumpition of physical economics. But in reality, there are non-material resources also, like, the savicies of needs to bed doctors, engineers, labour, advocates etc., who create resources through their services and study of these services is done under economics.
- Economics is not a social science only : Assuming economics as only social science shall be inappropriate, because concepts of economics are such that they apply to people within and outside the society equally. Hence, economics is a human science.
- According to Robbins, “economics may be related to anything but it is certain that it is not related to the causes of public welfare.
Robbins believed the welfare related approach to be faulty on certain grounds: 1. Many activities like production of psychotropic substances and their use is not in the best interest of human welfare, but that is studied as a part of economics. 2. There is no evidential parameter for welfare. Currency cannot be treated as an evidential parameter for welfare because welfare is a psychological and emotional expression. - When economics is related to welfare, it means that the economists have to decide on pros and cons of economic activities, which relates to normative science. Robbins treat economics as positive science, which does not decide about what is wrong, but rather it studies according to the situation.
- Scope of economics is skewed : In economics, negligence of the acquisition and consumption of non-physical sources, study of anti social, uncommon and non-economic activities have become the reason for its criticism.
Economists do not treat the definition of Robbins as flawless. Salient criticisms of this definition are as follows : - Making the scope of economics wider than human wants : Prof. Robbins, by stating economics as human science, has deemed the alternative aspect of all human activities as the subject matter of economics. Henceforth, the scope of the study of economics has widened and demonstration of economic principles, analysis and investigation of problems have become too complex.
- Inadequate concentration on social character of economics : According to Robbins, activities of people living outside the society are also studied. But economics is needed only when the economic problems become socially important and activities of one group of human beings affect the other group.
- Economics is not a value theory only : Robbin’s definition of economics is restricted to the distribution of resources in producing various goods and consequently, and how the value and price of such goods is fixed. But scope of economics is much wider than mere allotment of resources and determining of values.
- Neutrality towards objectives : Robbins has written “Economics is related only to resources. He has not clarified how objectives will be set, for which limited resources are used. If we are not aware about the objectives, then we cannot ensure maximum utilization of limited resources.
- Economics is not only a real science but also an art : If economics is assumed as real science it will merely remain as a science of building principles, but critics believed that the responsibility of economics is not restricted to building the equipment, but also throwing light on the process of using that equipment.
- Definition is situational : Prof. Robbins treats accomplishments as given and stable and believes that a coordination is established between those accomplishments and sources but in realolife, both keep choosing.
- Reason of economic problems : Scarcity gives birth to economic problems- This statement of Robbins is not completely true. According to critics, economic problems arise not only due to scarcity or they being limited, but also due to they being excessive/ ample.
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