Importance of Economics in Today’s World

An economy is a field of the exchange, production, distribution and consumption of various goods and services by various producers, merchants, workers and other agents. In economics, it is defined as a social community that stress the practices, discourses, and economic attributes related to the production, utilization and control of productive resources. It also includes a system of coordinate systems of interaction in the market, governed by the laws of demand and supply. The field of economy studies traces its origins to the writings of the classical economists of the 19th century. It covers a range of topics such as the theory and practice of economic decision, government intervention, domestic policy and finance, taxation, technology and industrial organization.


Economics degree is one of the three degrees that we have here at Michigan – Business Administration, Finance and Management, Information Systems, and Technology Management. We specialize in economics because it is such a wide subject, which means we can talk about many different things related to economics and business. So if you really want to know anything about how the economy works, then you should really try to get a degree in this particular specialization. Studying economics will help you understand how other fields of study like computer science and engineering are related, you will also get to know anything about international finance, marketing, entrepreneurship and even about health care.

Studying economics helps you understand why some things are profitable for some people, while others are not. For example, if you understand that labor is a key component in the design of products and the success of a business, you will see how the business policies and practices related to labor are crucial to the success of the firm. If you want to start your own business or you want to enter into the market, then you will be able to understand the impact of the price level on business revenues, inventories and employment. Studying economics helps us become aware of the inter-linkages between economics, statistics, business, technology and other aspects of the global economy.