Question

Many people have different concepts or ideas about the study of economics.

It would be interesting to know what are your thoughts as it relates to the study of economics and its importance in society.

Answer 1

Economics is all about money and economics for most people, and problems of supply and demand. Though these are important elements, there is much more to economics. Economics provides a framework for understanding individual, corporate, and government actions and decisions. It provides a means of recognizing relationships in a market-driven society, and examining policies of government that impact citizens ' families, jobs and lives.

Economics is the social science that explores how scarce resources are handled by people, companies and whole communities. Resources are limited by definition. For example, there is only a finite amount of land and people don't have limitless time to meet all their needs and desires. Because there are no resources in unlimited quantities, people need to set priorities and decide how best to distribute resources in a way that satisfies as many needs as possible and as they want.

Economics— microeconomics and macroeconomics— the two main branches discuss resource allocation problems at various levels. Microeconomics focuses on individual consumer and business decisions, discussing issues relating to supply and demand, as well as the prices of goods and services. Macroeconomics takes a pan-economic perspective, analyzing an entire nation's economy. Macroeconomics addresses national economic problems, such as the gross domestic product and the rate of unemployment.