One minute (133 Words)
Economics (from Greek oikonomos, for one who manages the household) is the study of the production, distribution and consumption of goods and services, focusing on the behaviour and interaction of economic agents and economies themselves. It almost always assumes scarcity of some resource or another, although post-scarcity economics could be interesting to think about.
The field of economics is traditionally divided into two broad subfields. Microeconomics is the study of how households and firms make decisions and how they interact in specific markets. Macroeconomics is the study of economy- wide phenomena. i.e.
- microeconomics is concerned with basic elements of an economy, including agents, markets, supply and demand, interactions, monopolies and oligopolies and outcomes.
- macroeconomics analyses an economy in aggregate, looking at things like inflation, economic growth, unemployment and public policies.
See: Studying Economics