“Until studying a course like economics not a lot of people are aware of how the world works, including industries, businesses and governments. You realise that it’s very important to be educated in this type of thing even if it gets to the stage where you become annoyed with family and friends for moaning about taxes!”
Economic is vital in the understanding of how the world and its systems operate as it builds problem solving skills and develops one’s logical way of understanding problems. It gives a clear understanding on the concept of demand and supply, which is the fundamental basis of economics. It serves to ensure stability in the dispersion of goods and services since resources are scarce therefore cannot meet everybody’s demands simultaneously therefore it creates a balance between usage and maintenance or creation of resources by making informed and calculated decisions on what to produce, how to produce it and who to produce it for at the given point in time. Economics is responsible for the determination of prices for goods and services including things like land, buildings, stocks and bonds. It helps determine how scarce resources should be deployed to people, how much formal education one requires to be considered adequate enough in a specific field and provides techniques on how to handle or disperse your savings and investments. It also deals with the idea of tax, how the tax system affects the people and its implementation to help aid government operations and survives for taxpayers. It also gives insight on how the government’s budget is drawn up so as to meet the objectives of the nation through fulfilling the demands of the people and how debt can affect these processes and the economy of the country.