Economics is the study of how people decide to use resources on an individual and a collective basis. It examines the kinds of work people do and how much time they spend doing it. Economics also looks at production, investments, taxation and how people spend and save money. Before you commit yourself to spending time and effort studying economics, it helps to know the advantages of doing so.

Numerous Applications

Studying economics prepares you to deal with issues in a variety of fields, including business, law, politics, history and accounting. Knowing how scarcity affects purchasing decisions helps in a politician’s office, for instance, where people consider changes in taxation. It also helps in a department store where executives determine how much profit they might make from a certain product.

Current Events

Economic changes often occur, such as a decrease in unemployment, an upswing in the stock market or a trend of jobs being outsourced to other countries. During these changes, you can better understand the events as they happen by participating in classroom discussions. When the government announces a change in policy, such as a hiring freeze for federal workers, you’ll have the advantage of being part of a group of curious people asking questions about current events and how they apply to your curriculum.

Prepare for the Future

Studying economics helps you prepare for the future. You’ll have a grasp of the economic principles that affect your career prospects, investment decisions and retirement strategies. While other people are more uncertain about the economy and how to adjust to changing conditions, you can make better-informed choices and come up with ideas to deal with problems and benefit from opportunities.

Prestige

Earning an economics degree also earns you prestige. People who successfully study economics must operate at a high intellectual level. Because of its importance in society, economics is a social science for which you can earn a Nobel Prize. This puts it alongside other disciplines that offer awards such as chemistry and physics.