Economics is an arena of social science relating to not only production, but also distribution thereby providing one with a clear idea about consumption concerning goods as well as services.
There are various proposed definitions of economics including the explanation that Economics signifies what economists do. Previously economics meant ‘political economy.’
Alfred Marshall came up with a definition of economics which has grasped the attention of analysts and others as well.
His explanation has led to an extension of the analysis of the subject in discussion (i.e. economics) ahead of wealth. The definition extends from societal to microeconomics’ level thereby creating a fusion of the analysis of those viewers who holds a sympathetic approach to the classical or standard political economy with a focus on social wealth.
In his synthesis, he also includes the outlook of the earlier adapters of the views stated in the Marginal Revolution focusing on the needs of an individual. Marshall’s definition also includes the expression ‘wellbeing.’ This term was a significant inclusion to hold discussion on the nature of the discipline (economics).
Marshall held his view of Economics saying that Economics or Political Economy is a study about mankind in the context of Ordinary Business of Life. It inspects the part of the action of individual as well as social which is connected closely to with the achievement and the usage of the material requisites concerning wellbeing.
Thus, on one side economics deals with study relating to wealth while on the other side it explores mankind.
In 1932 Lionel Robbins earned special recognition in proposing the present definition of economics. In defining economics, he said that it is a science which explores human behaviour thereby studying it as a relationship between ‘ends and scare means’ which have alternative utilization.
A current review of the discipline in discussion comprises of a variety of those topics which are in principle schoolbooks.
- The Science of Choice
- Behaviour of mankind
- The process of coordination
- The effects concerning scarcity
- Coordination of human desires, human wants, mechanisms regarding decision making, social customs plus political realities relating to society.
Education on economics
Economics of Education can be explained as the study of economic issues that relates to education including the demand concerning education, the finance plus provision with regards to education and the relative efficiency concerning various programs as well as policies relating to education.
From previous works based on the relationship betwixt outcomes regarding schooling and labour market relating to individuals, the arena of Economics of Education has experienced a rapid growth to cover every area virtually. Those are the areas that bear connection to education.
Who is an economist?
An economist generally requires a degree in masters or Ph.D. But it comes to the matter of jobs on entry-level or to put it simply government jobs, a bachelor’s degree is adequate. If you bear a superior degree in the subject of economics plus a bachelor’s degree with a strong mathematical background is an added advantage.
Again, regarding many career goals especially regarding jobs concerning research and business or international organizations, a degree in masters or Ph.D. with graduation plus working experience is required.
An economist serves special importance in researching and analysing economic issues and advising business, governments and individuals on the topic of economics. They serve special function in preparation of charts and reports that forecast marketing trends. They also deserve special importance in analysing a choice of industries concerning education and development, health and environment.
Education and training helping economy
Globalization as well as international trade requires each country and their economy to get involve into competition with each other. Economically, countries emerging out successful are benefitted with not only competitive but also comparative advantage surpassing the economy of other countries. But only a country alone could rarely specialize in any specific industry. This makes clear a fact and it is that the economy of a country includes a range of industries.
Vivid presences of these industries with their advantages plus disadvantages cater to the country’s success in the international marketplace. Not only education but also training workers of a country primarily determine the progress of the financial system of a country that could help the country to prosper.
The workforce concerning the economy of a country that has already progressed financially is proficient and skilled to operate industries at a certain stage. At this stage it (workforce) holds an advantage on a competitive level over other countries’ economy.
In order to achieve this end, nations may made a try thereby preparing themselves with incentivizing type training through write offs and breaking of tax by either providing various facilities to provide training to workers or by efficiently creating skilled workers. It is unlikely that an economy will hold any competitive advantage in all sorts of industries. But likely it can focus on several industries where trained professionals are experts.
Differences in level of training have been mentioned as an important factor in differentiating developing and developed countries. Although several other essential factors definitely cooperate, for instance geography as well as available resources having better skilled experts creates externalities and spill overs.
For example a likewise business may flourish in the same region. Why? Because of the skilled workers who are proficient enough to cater to its success.
Employers always prefer those workers who are creative and who need not as much of management. Employers take into consideration a lot of factors when they decide whether they have to pay or not pay for training the employee.
While employers should be cautious about many new workers who are trained, many employers require on their part workers who will agree to work continue for their (employers) firm for a certain period of time at the expanse of timely payment for training.
In continuing a business one may have to face employees who are reluctant to agree in getting trained. Mainly in industries which are mainly dominated by respective unions, since increase in security concerning job can create great difficulties in hiring trained proficient employees.
However, unions may possibly negotiate with the employers of these industries (union dominated) in order to ensure the fact that its associates are trained in a better way and thus are further productive. This in turn reduces the probability of jobs being moved abroad.
Preference of workers
Workers boost their potential concerning earning thereby not only developing but also refining their capabilities. As further they become acquainted with the function of an exact job, the more they gain the confidence of their employer thereby emerging as his trusting employee. In this way they become valuable to their boss. Employees have a tendency to learn superior techniques or innovative skills to demand or request for high salary.
Some workers deserve special mention in paying for the entire or a portion concerning the expanse relating to a particular program, but not always. In fact, the workers can get dishearten. The workers may lose salary if the program prevents them from working.
Due to the progression of technology, nowadays a nation can only prosper if industries can have expert employees from the field of science and technology. Therefore several countries have placed bigger importance on developing an excellent education scheme that can produce proficient experts who will be able to work and function in new industries in the arena of science and technology.
This is somewhat because industries which are older in developed economies were becoming not as much of competitive. Hence these industries were not likely to continue dominate the industrial scenery. A significant movement also emerged in order to improve and modify the basic edification concerning the population. This movement was the outcome of the rising belief that each people had the right to get educate.
When economists converse on education, the focus is not actually on those who obtain degree from colleges to become efficient employees or workers. This is the reason why education is often divided into definite levels.
- Primary education: Those schools which are elementary in the United States
- Secondary education: Preparatory, middle and high schools
- Post-secondary education: Vocational schools, community college and university
If workers are properly educated, then they will able to imply their critical thinking as well as literacy skills in the arena of their work. However obtaining higher degrees to be highly educated is cost expensive.
A country need not to provide a far-reaching network of educational institutions get beneficial education rather it can offer essential literacy programs which can provide basic education. This can also bring improvements on economic ground.
Countries which have huge population see faster and progressive economic development whereas countries with workers who are poorly educated. This is because a progressing country where most of the population has bright students who are intelligent enough to complete their schooling and college scoring high marks. They come out with flying colours.
These students can devote themselves for their nation’s economic prosperity thereby entering into their work arena and becoming efficient employees. They thus easily grasp the attention of their boss.
Again as stated earlier, there are countries where workers get insufficient education. So, many of the countries prefer providing funding regarding primary as well as secondary education in order to recover economic presentation. Thus education can be referring to an investment in Human Capital, akin to an investment in improved equipment.
In accordance with UNESCO and United Nations Human Development Programme, the proportion of the age of the numeral of children as enrolled in official secondary school to the age concerning the numeral of children as enrolled in official secondary school in population is greater in developed industrial countries than that of developing countries. By the way, the above proportion (ratio) is termed as Enrolment ratio.
The more a firm employs dutiful workers (who are finely trained), the more it can hypothetically produce. For any business the intellectual ability on the part of an employee is akin to an asset. An economy where the employers deserve special importance in treating ‘education’ as a valuable asset is a ‘knowledge-based economy.’
Alike any other decision making, making an investment regarding education hold an ‘Opportunity cost’ for the employee. However employers prefer paying high wages when the task of completing a certain job requires education on higher level. Thus wages increase once training is finished.
Role of teachers
The main cause behind poverty is lack of edification. If you are unable to read and write and is weak in mathematics, if you cannot write application in an appropriate manner regarding a secured post concerning any sort of job you will never get a satisfied job. Slowly you will run into poverty.
So, in order to get a proper education you have to consult an efficient teacher. Teachers deserve special mention in being a crucial part concerning the backbone relating to the economy of a nation. In fact they give necessary training concerning education to the students so they can emerge as proficient employee in future in respective industries.
To be more precise, teachers shape the future of the students so that they can become successful workers and entrepreneurs. Thus the contribution of teachers to the economic growth of a nation is a significant one.
Modern age of computers and Economics
Economics with finance have undergone drastic changes during the age of information. This change is evident not only in study but also in practise. The rising predictive and computational capabilities concerning modern age computers have prepared them as priceless tools necessary for making research on economic trends thereby developing necessary approach around them.
Economics on computational ground is actually a convergence of Computer Technology as well as Economic theory that has altered the way in which governments and companies consider their economies.
Nancie L Beckett is a teacher on one hand and a friend, philosopher and guide on the other to her students. She is an advisor concerning not only Yearbook but also to teachers at her school in Kennewick and leads the youth thereby infusing in them the belief about educational power. She grabs a degree in Masters of education in Learning plus Technology from ‘WGU Teachers College.’