Firstly, we must find out what is economics. Economics is part of the social sciences group, and it explores the diversity of issues regarding financial situations and decisions. From production to consumption, economics allow people to have an overlook about world’s resources, their usage and distribution among individuals, groups and organizations. Oftentimes, economics involve studying more than one area, including sociology, geography, law, history, and politics – both at local and international levels – in order to fully comprehend the aspects, potential and power.
Economy is divided between two major categories – Microeconomics and Macroeconomics.
Now your question will be what is microeconomics? The name of Microeconomics comes from the Greek prefix “mikro-“, meaning small and economics, and is a subdomain of economics that has the subject of study the behavior of individuals and firms when making decisions regarding the allocation of finite resources and the interaction between these individuals and firms. One of the goals of microeconomics is to research the market mechanisms that set relative prices between goods and services, and divide limited resources amidst a variety of uses. Moreover, microeconomics displays conditions under which free markets draw to favorable allocations, and also analyzes market failure – a phenomena where markets fail to deliver efficient results. Microeconomic theory usually starts with the analysis of a single rational and utility-maximizing entity. For economists, rationality means that a person or firm has stable desires that are both full and transitory. Economists frequently consider themselves microeconomists or macroeconomists. The distinction between microeconomics and macroeconomics was originally introduced in 1933 by the Norwegian economist Ragnar Frisch, co-winner of the first Nobel Prize in Economics in 1969.
Now that we have a somewhat clear understanding of microeconomics, what is macroeconomics?
Macroeconomics is one of the many branches of economics which studies how an all-around economy (the market or other setting that works on a large scale) behaves. Macroeconomics includes economy-wide events, such as price levels, rate of economic growth, national income, gross domestic product, inflation and even changes in unemployment. Macroeconomics answers several question: What is a factor that stimulates or creates an economic growth? What is the cause for unemployment? There macroeconomics aims to measure how well an economy is performing in order to understand its driving-force and to predict and project how an increase in performance can be approached. Moreover, macroeconomics engages in performance, structure, and behavior of the entire economy, whereas microeconomics is more concentrated on decisions made by individuals in the economy – industries, people, households, etc.
It is also important to consider the limits of economic theory. The theories are often produced in a vacuum and lack some specifics of the real world, such as taxes, legislation and transaction costs. The natural world is also extremely complex and involves questions of social choice and conscience that do not lend themselves to mathematical study.
Even with the limits of economic theory, it is necessary and worthwhile to follow main macroeconomic indicators such as GDP, inflation and unemployment. The output of companies and the extension of their stocks are greatly affected by the economic conditions under which they work, and the study of macroeconomic statistics can allow an investor to make better decisions and take a turnaround.
It can also be essential to understand which concepts are in support of, and to influence, a specific government administration. The fundamental economic values of the government will tell a lot about how the government will handle taxes, legislation, government expenditure, and similar legislation. By better knowing the economics and the consequences of economic decisions, investors will at least get a glimpse of the likely future and behave with confidence.
What are the Degrees in Economics?
There are four main types of degree programs available in the field of economics—associate’s, bachelor, master and doctorate. As you advance through each step of your higher education, you will continue to delve deeper into the beautiful fields of business and economics.
Careers in Economics
There are a lot of possibilities and open doors for those who graduate with an Economics degree. We will discuss some of the most popular options and opportunities for future graduates with an economics degree in 2021.
Statisticians are associated with the compilation, examination, perception and presentation of quantitative information. They operate in a variety of industries, including:
- Environmental Issues
- Government and Politics
- Market research
As a statistician, you plan and manage assessments, surveys and preliminary data collection. You can process and interpret data in context, searching for trends that help you make decisions. You will then offer advice on the results and recommend the approach.
Statisticians also operate in teams, usually involving practitioners from other fields. Good analytical and IT skills are important, as are organizational and leadership skills, in order to communicate results with colleagues and customers.
Statisticians analyze data and transmit information to their customers, often with the assistance of statistical methods and tools. In this position, you will ensure that complicated mathematical principles are clarified in a way that the client will appreciate and advise on strategy. Some experiments only take a few months to finish, whilst others require years of study.
General responsibilities in the field of Statistics are:
- Consulting with stakeholders and deciding to what data to gather and how it can be collected- taking into account any legal and regulatory issues.
- Designing tests, research or surveys to provide the data needed
- Providing estimates of potential student numbers, accounting for fluctuations in the birth rate, and determine how many teachers will be expected in the field.
More broadly, a data scientist is someone who knows how to generate significance from and analyze data, which needs both techniques and methods from analytics and machine learning, as well as being a human. A lot of time is spent gathering, sorting, and munging data, because the data is never clean. This method needs patience, statistics, and software engineering skills—skills that are often required to grasp data bias and debugging logging output from code.
What are the necessary skills for a data scientist?
- Machine Learning notions
- Data Visualization and Reporting
- Risk Analysis
- Statistical analysis and Mathematics
- Effective Communication
- Software Engineering Skills
- Data Mining, Cleaning and Munging
- Big Data Platforms
- Cloud Tools
- Data warehousing and structures
Data scientists should not just understand programming languages, database management, and how to convert data into visualizations – they should be curious about their surrounding environment, of course, but through an empirical eye. With personality characteristics that mimic quality assurance teams, data scientists must be diligent in analyzing vast volumes of data and looking for correlations and responses. They are also innovative in designing modern data crawl algorithms or building structured database warehouses.
As an actuarial analyst, you will use mathematical calculations to determine the level of risk. For example, life insurance could include figuring out the expected life expectancy of various populations to decide the policy rates everyone should be paying.
Analysts use advanced computing tools and spreadsheets, so it is helpful to have an interest in and ability to use IT. You will operate in different parts of the financial services sector and would also play a supportive role in the actuarial team.
Actuarial analysts working in financial management layout insurance and retirement plans, while those working as consulting advisors may help companies decrease their insurance costs by reducing their risk exposure. Actuarial analysts conduct data processing and mathematical simulation and submit their conclusions to senior managers or customers. These staff may also be responsible for compiling and writing the related data.
Many actuarial analysts hold bachelor’s or master’s degrees in accounting, mathematics or actuarial science, while others hold degrees in various quantitative areas, such as finance or business. College-level courses in advanced statistics, corporate finance and economics are required for technical qualifications, but in the U.S. Bureau of Labor Statistics (BLS) also recommends coursework in computing, accounting and information science. Students who complete one or two internships while in school may have an edge in qualifying for entry-level positions.
One interesting thing about accounting is that you can enter the area with education at any level. An associate degree will train you for entry-level jobs, while a bachelor’s degree will have a larger skills base and pave the way for a master’s degree in business management or other advanced degrees. Your master’s would typically take one or two years to get it.
What does an accountant do?
The primary duty of accountants, which applies to all others, is to plan and review financial reports. They ensure that the documents are correct and that taxes are collected properly and on schedule. Accountants and auditors offer an analysis of the financial activities of a company in order to help it function effectively. They also offer the same resources to people, encouraging them to establish action plans to enhance their financial well-being.
Accountants and auditors typically work in offices, but some work from home. The auditors may travel to the workplaces of their clients.
Most accountants specialize, depending on the type of company and needs of their customers or clients. Typical specializations include insurance consulting (improving the performance or context of knowledge for decision-makers) and risk management. Accountants may also specialize in the field by deciding to work in the healthcare sector, for example.
Do your skills relate in finance, business and citizens, but you’re not convinced if accounting is right for you? Related fields worth considering include administration, budget analysis, financial administration, personal financial counseling and teaching.
Logistician is someone who analyzes and coordinates the supply chain of an organization—a mechanism that transfers a commodity from source to customer. They oversee the entire life cycle of the product, including how the product is purchased, marketed, allocated and shipped. Logisticians work in virtually every field.
Logisticians supervise operations such as procurement, shipment and distribution, inventory, storage and distribution. They can guide the movement of a variety of products, people or supplies, from common consumer goods to military supplies. Logisticians are using advanced automated tools to schedule and monitor the flow of products. They run software applications that are uniquely designed to handle logistical processes, such as sourcing, inventory control and other supply chain planning and management systems.
Most logisticians often visit the production plants or distribution centers of a business. Many logisticians work full-time during normal business hours. When faced with distribution delays or other logistical issues, they can work overtime to ensure that operations remain on track. Jobs can be exhausting because logistical work is fast-paced. Logisticians must ensure that operations are on track and work efficiently to address any issues that occur.
Personal Financial Advisors
Your tax strategy partner is a financial advisor. Let’s presume you plan to retire in fifteen years, or you want to take your kid to a private university in nine years. In order to meet your ambitions, you will need a trained specialist with the right licenses to help make your goals a reality; this is where a financial advisor steps in.
Together, you and the advisor will discuss a variety of subjects, including the amount of money you can save, the kinds of accounts you need, the types of benefits you should get (including long-term care, long-term care, disabilities, etc.) and estate and tax planning.
The financial adviser is also a teacher. A part of the consultant’s job is to help you understand what is involved in achieving your potential targets. The education process can provide comprehensive financial assistance. These issues may include budgeting and saving at the beginning of your relationship. As you advance your expertise, the expert may allow you to grasp complicated finance, insurance and tax problems.
Many of the personal financial consultants work in the banking and insurance sector or are self-employed. They normally work full time and can see clients in the evenings or on weekends.
|Supply Chain Analyst||$71,203|
|Senior Financial Analyst||$89,883|
|Brand Strategy Consultant||$89,405|
There is no question that, in order to be a better economist, one must be able to learn the techniques used in the discipline and have good math and mathematical skills to do so.
You will ought to be involved in the world around you, from history to politics, to foreign relations to customer habits in your country and around the world, all of which have an effect on how people, businesses and governments behave and make decisions.
Economics is not about learning a fancy collection of terms, it’s actually using them to construct a successful plan for business. You can use theories and mechanisms such as Porter’s Five Forces and SWOT analyses to analyze circumstances and make a range of economic decisions for your company when you understand these concepts, such as whether to follow a bundled or unbundled pricing model or the best ways to optimize costs.
In terms of universities that offer economic degrees – you are in luck. There are almost limitless possibilities where you could be studying Economics, including community colleges, Ivy League universities, and most importantly you can even study abroad economics.
What are your thoughts on Economics? Would you like to study Economics?