Get premium membership and access questions with answers, video lessons as well as revision papers.

Importance of studying Economics

      

Importance of studying Economics

  

Answers


Felix
It is useful to study economics for following reasons.
•Economics provides the underlying principles of optimal resource allocation and thus enables individuals and firms to make economically rational decisions. Thus, for example, the preparation of budgets involves a knowledge of demand and elasticity analysis.
•The making of pricing policy decisions draws heavily on the concept of elasticity in economics. Additionally, the theory of production in economics is concerned with the principles that facilitate the optimal combination of factors of production.
•The area of development economics is fundamentally concerned with the reasons why societies develop a means of accelerating development, it is vital for individuals as citizens to appreciate the parameters that determine the development process so that they can contribute more fully to facilitating it and contribute to solving the economic problems that characterize their society.
•Economics is an analytical subject and its study can help to develop logical reasoning, which is never superfluous.

Anganifelix answered the question on December 8, 2018 at 11:37


Next: Discuss the scope of Economics
Previous: Explain the two branches of Economics and give the difference between the two

View More Economics Questions and Answers | Return to Questions Index


Learn High School English on YouTube

Related Questions