Theoretical Importance of Economics

Theoretical Importance of Economics

Theoretical Importance of Economics

An economics system is allocation of resources, production system, delivery of goods and services in a society or specified geographic area. So it consists of the various organization, agencies, bodies, decision-making processes, and patterns of utilization that consist of the economic structure of a given society.

Intellectual values

Economics sharpens the intellectual values. So it helps to understand the Economic problems.  Hence a student of Economic observes closely the human behavior in the ordinary business of life and derives results after analyzing facts.

Educational Benefits

In the present times the education of a person can not be complete with the study of economic. So what ever is happening around us has economic importance. However even highly qualified person without the study of economic can not fully understand the economic problems

Useful information

By studying economics we get useful information.  With the study of economics National and international economic changes can not be understood. Hence to understand the economic problems e.g. Inflation, Economic depression, un-employment. Therefore Low level of National income ,Low per can capital income ,Unequal distribution of wealth and disequilibrium in Balance of payments ,Study of Economics is compulsory .

To understand the working of economic system

With the help of economic we are able to understand how economic system works. What are the basic problems of an economy i.e. what to produce, how to produce, how much to produce and for whom to produce.

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