Economics Definition and 195 Threads

Economics () is the social science that studies how people interact with value; in particular, the production, distribution, and consumption of goods and services.Economics focuses on the behaviour and interactions of economic agents and how economies work. Microeconomics analyzes basic elements in the economy, including individual agents and markets, their interactions, and the outcomes of interactions. Individual agents may include, for example, households, firms, buyers, and sellers. Macroeconomics analyzes the economy as a system where production, consumption, saving, and investment interact, and factors affecting it: employment of the resources of labour, capital, and land, currency inflation, economic growth, and public policies that have impact on these elements.
Other broad distinctions within economics include those between positive economics, describing "what is", and normative economics, advocating "what ought to be"; between economic theory and applied economics; between rational and behavioural economics; and between mainstream economics and heterodox economics.Economic analysis can be applied throughout society, in real estate, business, finance, health care, engineering
and government. Economic analysis is sometimes also applied to such diverse subjects as crime, education, the family, law, politics, religion, social institutions, war, science, and the environment.

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  1. L

    Electrical Engineering, Computer Science or Economics

    Dear PhysicsForums members, being currently in my final year of Austrian high school I have to decide what to pursue my Bachelors degree in. (Un)fortunately I have three huge interests. Those are Economics, Computer Science and Electrical Engineering. All of which are highly fascinating and I...
  2. N

    How to get over being a grade perfectionist?

    I have always been interested in majoring in a STEM field. I never saw myself as a scientist, per say, (I abhor labs) but I always thought I would major in physics, math, or computer science. However, recently I have been very offset by the relatively low grades given out in my STEM classes than...
  3. M

    MHB Reaction functions, differentiation question _ Game theory economics

    Consider a scenario where two individuals—Robert and Stuart—are under- taking a joint project, where the value generated from the project depends on the effort expended by both individuals. Let x be Robert’s level of effort and y the level of effort of Stuart; the value of the project for each...
  4. A

    How Should Obligation 1 Be Calculated Given Its Zero Coupon Rate?

    This assignment is translated from another language, so some words be not be completely correct Homework Statement (Annual market rate might be yield to maturity?) Face value = 1000 Obligation----Condition----Payment profile----Maturity------Annual Coupon Rate-----Annual market rate...
  5. S

    Compound Interest Paid in 3.5 Years: Regional Laws & Concepts

    - This may be a stupid question as I am totally new to the concept of interest. I don't even know if my question is valid. - Figure is given below for referenceSuppose I deposit some money in a bank that pays compound interest on yearly basis. If I decide to withdraw my amount at the end of 3.5...
  6. V

    Engineering Economics or Mechanical Engineering

    Hey, this is my first post on physicsforum but I've read a lot on this website and the people here seem really insightful so I thought I would give it a try. I have a delimma, I'm in my last year of high school and am deciding which major to go into at the university of Alberta up here in...
  7. H

    Programs Combining Physics and Economics: A Worthwhile Pursuit?

    Is this uncalled for? Especially if I am 21-22 entering these studies? What do you think about this? How long would this take? Thanks.
  8. A

    Economics with Physics or MechEng

    Hey, I'm a first year Economics student. I've just finished my first semester. I started Economics with the intention of understand how people make decisions and for what reasons. I would however like to start up another degree to get a deeper understanding of the world. I'm leaning toward...
  9. M

    Where to Begin Learning Economics for Beginners

    Hello, I have very limited knowledge in economics and have always been trying to do something about it. When I was in school I had to choose between Geography and Economics and chose Geography. In university I did engineering management which I think didn't help much. So for someone who wants...
  10. S

    Applied Math with economics and some programming

    ...so am I screwed in getting a job? For my programming, I learned Python and C++ very well (they're fun). I loved probability. I'm one semester away from finishing. My Math GPA was a bit over 3, but my overall GPA stinks (around 2.6...I hated humanities and I started as a sociology...
  11. A

    Programs Economics or Applied Math major with better job propsects?

    I'm debating between applied math and economics major. Which has better job prospects?
  12. K

    Marxian economics: Differentiating the Rate of Profit Equation

    Marxian economics: Differentiating the "Rate of Profit Equation" While watching a recent Youtube video on Marxian crisis theory and the Tendency Of The Rate Of Profit To Fall, I decided to apply calculus to the equations to see what I got. The rate of profit is defined as ∏ = S / (C...
  13. R

    Economics: Elasticity Differential Equation Question

    Hi. Let me preface this by saying that I know nothing about economics. However, I learned a little bit about the concept of price elasticity of demand (that for something really elastic, if price goes up a little, demand will go down a lot), and I came across an equation relating price, demand...
  14. L

    Schools Will double majoring in economics diminish grad school chances?

    I'm a junior doing a physics major. I've almost finished the physics major and I've taken more than the required electives, and as I'm not 100% sure whether I want to go to graduate school, I'm considering double majoring in economics. I know that a double major in economics will open more...
  15. A

    A 20 Year Old Indian Economics Student with Poor GPA Seeking MBA Guidance

    So,i'm from India.I'm a economics major.I want to do an MBA after this.Now the problem is,my first year GPAs are horrid.HORRIBLE.We have 6 semesters here in India.I'm studying in one pf the,if not the most prestigious school here. Sem 1- 2.69 sem 2-2.95 Sem 3-3.7 Sem 4-3.6 Sem 5-3.7 Sem 6-3.8...
  16. K

    Lattices, mathematical economics

    Homework Statement Let ≥ be a binary relation, defined on the set X as follows: for any x,y\inX, x≥y if x-y≥0 and x-y is even. Determine if the following are lattices: X={2,4,8} X={1,4,8,9} Homework Equations Note that ≥ in this case is just the symbol for relation as it relates...
  17. Arsenic&Lace

    Physics undergrad to economics phd?

    I was just curious to know if this transition were possible. Economics seems like a woefully misunderstood field, and I feel as though physicists would have a good knack for it. Is this suspicion correct, or false?
  18. J

    Anyone know a good forum for Economics?

    Similar to this one, but for Economics where you can get help with Homework, assignments, theories you don't understand, diagrams etc... Thanks!
  19. H

    Intriguing topics for Economics presentation

    Economics is definitely not my thing. Unfortunately, I have to give an intriguing presentation that would raise interest. I wonder If you could give me some topics and something to start from. It would be great for the topics to be interesting so that it wouldn't be boring to watch and hopefully...
  20. D

    Math Mathematics, and Economics Job Prospects

    Hi everyone, I've set up my schedule through the next three years so that I will be able to graduate with a double major in mathematics, and economics (both bachelor of science). I was just wondering if anyone knew the job outlook on these two degrees. I have a strong interest in both...
  21. 9

    Economics: find when utility maximized

    Homework Statement I must "maximize utility". This is done when the slope of -px/py = -MUx/MUy. MUx = (1/4x^-2/3)(y^2/5) MUy = (2/4x^1/3)(y^-1/5) Budget line: 80 = 7x + 2y Homework Equations MUx = (1/4x^-2/3)(y^2/5) MUy = (2/4x^1/3)(y^-1/5) Budget line: 80 = 7x + 2y The Attempt at a...
  22. D

    Programs What Courses Should I Take for an Economics Major?

    Hi everyone, after last quarter I have decided that instead of pursuing a science oriented field, it would be better if I pursued a major in economics. I have had previous coursework with macroeconomics in the past, and have a huge interest in international macroeconomics, and fiscal policy. I...
  23. P

    MHB Decisions in Managerial Economics

    Hi, I just started Managerial Economics and I'm starting to wonder why I chose it! Weve gone through a lot of important topics but we got the following question for practice and I can't make head or tail of it, my brain is completely blank and I started drawing the tree. I would really...
  24. A

    Programs What can I do with a degree in Agricultural Economics?

    UC Davis offers B.S in Managerial Economics, one of the options being agricultural Economics. I've read in articles that this is one of the most employable degrees right now. Is that true? And what do you think are the employment prospects with this degree within the next decade or two? I'm...
  25. T

    Programs Should I major in Physics, Computer Science, or Economics?

    Generally, people hate these kind of posts and will automatically assume the one writing such a thing could be a pretentious 13 year old, I can assure you this is 100% serious, but I digress. I'll make this rather short, I want to choose/narrow down my major choices which can be found in the...
  26. 9

    Economics question: indifference curve?

    I know if you have two bads the slope is negative and is curved, and the closer to 0 the better. But what if you have two bads where one is worse? I.e. good a and b are both bads, but you want 5 of good b for every 1 of good a?
  27. trollcast

    Should I Choose Biology or Economics for My Fourth A-Level?

    I'm just sort of finalising what subjects I want to do next year before I get my results and have an enevitable 24 hr panic until I sign up for sixth forum the next day. I'm definitely going to be doing: Math w/ Further Maths (hopefully) Physics Chemistry As those are probably the...
  28. C

    Economics: Elasticity of substitution between capital and labor

    Homework Statement Am I right or wrong on the following? The more capital is needed to replace one unit of labor to attain the same production level, the lower the elasticity of substitution between capital and labor. It can measure how productive the capital in question is, and/or how...
  29. L

    Economics - Rate of return & Yield Rate

    You are considering purchasing a 274 day treasury bill that has a maturity value of 100000, The yield rate of interest on the 274 day treasury bills is 5.48%. Suppose you paid 96050 for a 274 day treasury bill with a 100000 maturity value and you sold it 150 days later for 98190.81. Calculate...
  30. K

    Fehr-Schmidt model and the Ultimatum Game [Economics]

    I am perfectly aware that an answer to this question could take slightly more than the usual, but this thing is making me nut. I don’t get if I make some sort of mistake in terms of calculation or if the authors use a peculiar notation. This is the paper that I am referring to, in particular...
  31. H

    Choosing between Economics and Physics

    Hi, I'm a new forum member and a rising college freshman. I'm currently planning on studying Economics in college (and getting a BA, not a BS) but, honestly, I like Physics a lot more. I've been interested in physics, mostly astrophysics and quantum mechanics, since I was a little child, and...
  32. K

    Programs Can you Do an MBA without majoring in Business and Economics?

    Can you do an MBA without even doing business and economics in the undergraduate program. I want to do a Major in Physics and Computer Science and a Minor in Math but I won't do business in Business and Economics but I want to get an MBA. Is this possible?
  33. HighAllegiant

    MHB Solving for Optimal Advertising Units in Managerial Economics

    [SOLVED] Managerial Economics Problem SOLVED I already solved (a) by finding the derivative with respect to (x,y) and equating to 0. (a) X* = 15, Y* = 20 My prof provided the answer to (b) and I have absolutely no idea to how he arrived at it. I assumed the the Income(M)=31 but without any...
  34. D

    Schools Which field should be focused if I want to go to graduate school for economics

    Hi all, I am majoring in electrical engineering as an undergrad student and minoring in economics. I want to go to graduate school to study economics. During my undergrads shall I write papers/do research in economics or will that in engineering be fine too considering graduate admissions in...
  35. R

    Basic easy to understand economics books?

    I was wanting to read a bit more about economics because it'll come round to uni applications time and I'll realize I haven't read one book I could talk about on the subject. So I'm looking for something that's detailed enough to give me a good picture but not too detailed that I'll spend a...
  36. D

    How Does Increasing Prices Affect Revenue in Inelastic Markets?

    I'd like to know how increase in revenue in related to price. If I have high prices compared to my competitors, and my revenue keeps growing... what does that mean? Does it mean my demand keeps growing even though I have high prices? In this case, my firm is inelastic?
  37. R

    Difference between economics, actuarial science, finance and accounting?

    Not sure if this is better suited to the careers forum but anyhow. I sort of know the difference between those 4 fields but I was just wondering if anyone could explain the differences in more detail, I've got another 3 days work experience that I haven't got anything for so I was thinking on...
  38. D

    Would a Leftward Shift of the Supply Curve Cause a Shortage

    Hello guys, I have a quick question: Would a leftward shift of the supply curve result in a shortage?
  39. I

    Cobb-Douglas Function - Economics - Micro

    Hello, I have been learning about Cobb-Douglas Utility functions and Cobb-Douglas Production functions. Some of the reading I have incontured have left me confussed. Does anyone know how the utility function difffers from the production function in terms of explaining the exponents. I know...
  40. E

    Schools Academic Dilemma: Math Graduate School for Economics Major?

    I have been lurking on PF for a while, so I have done a bit of research on the subject but figure I should get some specific advice from those knowledgeable about my dilemma. Currently, I am a junior Economics major at a Big 10 school, recently admitted into the honors program for my subject...
  41. H

    Programs Is it wise to major in mathematics if I want to pursue a masters in economics?

    Let me provide a little background information: I've always found math challenging for a number of reasons. It's the only subject that I had a hard time learning on my own. I even developed some kind of "math anxiety" in high school. However, I feel like it would be incredibly liberating to...
  42. R

    Biology, Economics, Computing or French

    I'm not really sure what I want to do after A level yet but I've sort of narrowed it down to Physics, EE, ChE, or Materials Sci. (OK its not that narrowed down) I've worked out that if I take: Maths Further Math Physics Chemistry That I should be covered for any of those 4 courses...
  43. D

    Physics Physics And Economics Double Major

    Hi all, How good/bad an idea is that. I love physics and want to get a phd later but stll want to remain safe. any advice? Is physics+economics bad idea? What about physics major and eco minor only? :confused: DPA
  44. B

    Can the MVDT be used to prove an inequality in economics?

    I'm trying to prove something small in economics using MVDT but can't seem to work it out: So consider: S(x) and D(x) such that: S' > 0 > D' S(x_{1}) = D(x_{1}) = Q_{1} S(x_{2}) + \epsilon = D(x_{2}) + \epsilon = Q_{2} Then can I prove the following? x_{2} = x_{1} Q_{2} >...
  45. B

    MHB Partial derivatives economics question

    If a and b are constants, compute the expression KY'(K) + LY'(L) for Y = AK^a + BL^a Y'(K) means partial derivative with respect to K by the way. The answer in the book is KY'(K) + LY'(L) = aY I'm not sure what they did or what they're asking :/
  46. A

    What Are the Economic Challenges of Nuclear Power and LED Street Lighting?

    So based on this Florida estimates that to build nuclear power stations it will cost $20 billion, but I can't find how many they are planning to build. But it raises an interesting question about the economics of nuclear power in general, in particular what are the major factors behind its...
  47. V

    Macro/micro economics Textbook for a mathematian

    Hello. I am a Junior in Highschool who is very interested in mathematics. Most ap macro/microeconomics teach the subject like social studies or english. But I am aware there are more mathematical treatements. I have done Thomas calculus and analytic geometry(4th edition. not the watered...
  48. G

    Programs MSc/PhD Astrophysics after BSc Maths and Economics?

    Due to my marks in high school i could not get admssion in any regular(full-time) BSc physics/astrophysics programme. I looked for a distance learning programme but cudn't find one except uCLan's BSc astronomy hons, which they say will take a minimum on 5 years to complete. They won't let u...
  49. J

    Electricity Economics: Calculating Profitability

    Hi, Here's my problem statement, followed by some calculations I consider and then from som questions I'll like to be answered. Homework Statement The household assumes that 60% of its consumption of electricity (both energy and power) is used for heating. Calculate the relative...
  50. S

    Quasilinear PDEs in industry, finance or economics.

    Homework Statement I've been reading some introductory PDE books and they always seem to motivate the search for solutions of the first order quasilinear PDE by the method of characteristics, by introducing a flow model; i was thinking, could someone give an example of a phenomenon modeled by...
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