Question

in communicating with others about economic issues,what typically is the purpose?

Answer 1

Self-interest is at the core of any economic concept. While communication is important, we need to understand the major players in any economy. These are namely producers, consumers, the government and other regulatory bodies such as the Central Bank which is known as the Federal Reserve in the United States of America. All of these institutions as well people, have one common goal which is moving towards self-interest which may favour the population at large or may be individual in nature.

Now, that we know the stake holders in any economy, we look at the communication which takes place and the economic concepts involved with the same.

1) Consumers: -

As consumers we communicate or express ourselves on various platforms such as social media or among one another in the society at large. We also communicate with the producers while making our purchase decision. All of this expresses its focus around maximum satisfaction of our needs and wants in that particular role. As a consumer we want to consume those products and services which give us maximum benefit and is the core reason for any communication to take place.

2) Producers: -

As producers of goods and services, we communicate with various parties both internal and external to an organization and also with the government and consumers at large. The core reason for this is to increase our profits and to be able to sell higher volumes of goods/services or both.

3) Government Bodies

Coming over to government bodies such as the Central Bank or other agencies in the economy, they communicate towards ensuring better conditions prevail in the economy, and buyers and sellers take a rational choice.

We can conclude by saying, that the purpose of the existence of all these conversations is that people want to derive maximum benefits as consumers or as producers, while the government wants stability in the economy for which it communicates to the entire audience at large.

Please feel free to ask your doubts in the comments section if any.