Importance of Economics in Business Education

Most of the college students are required to take up the subject economics before they graduate. Some students question the importance of economics and the reason why do they have to study this subject. Well, before discussing about that, let’s first know what economics is all about.

Economics is about choice and decision making. Choosing your course in college or your occupation is the most important economic decision you will make. Economics will help you to decide how much to save, spend and invest once you have earned money. It is also about developing analytical and critical thinking. It is not about memorizing all the things you have read in books about economics.


What makes economics important?

      Economics as a part of the curriculum subjects to those students who take courses like Business and Accountancy will help them on how to understand and be knowledgeable to determine the changes of the economic growth. This will also provide them with the best preparation or help them to prepare for employment in business, government, or secondary education for the mere future.

A business student should understand that many businesses are at the mercy of general economic conditions. They are making so much decision like for example: what goods and services to produce, how to produce them and in what quantities.

According to Georgia State University,

Studying economics can teach strong skills that will benefit an individual in a variety of jobs. Among these skills are the ability to: perform proper analysis and critical thinking; understand quantitative theory; and develop better communication.

By studying economics, a student will:

• develop a liberal and broad economic outlook, where he critically examines statistics issued by government agencies and acquires knowledge about price, production, consumption etc. of goods produced all over the world.
• understand how the business world functions.

• have a better understanding of how resources should be efficiently allocated to various people and countries.

• know how important budgeting is and to manage money well.

• understand individual economic decisions, as well as developments in business, government, and the world economy.

• become a more knowledgeable participant in the political process

• learn a lot of skills and knowledge that he can apply to other jobs or to personal life. Learning about demand and supply, interest rates and exchange rates, and etc. can help make better decisions about investing and obtaining mortgages.

Studying Economics is important not only by the student taking up business courses but to all people belongs to the society. It helps everyone to make a choice and choose for what is right and able to help us to have a better life and use alternative resources due to the scarce of our resources we need to our daily life. We can never tell what will be going in future, that's why economics should be studied and must introduce to every individual in the society.

 

-----JVA-----