study of the means by which societies allocate scarce resources. Includes the study of production, distribution, exchange, and consumption of goods and services.
study of the economy. Classic economics concentrates on how the forces of supply and demand allocate scarce product and service resources. macroeconomics studies a nation or the world’s economy as a whole, using data about inflation, unemployment and industrial production to understand the past and predict the future. microeconomics studies the behavior of specific sectors of the economy, such as companies, industries, or households. Over the years, various schools of economic thought have gained prominence, including keynesian economics, monetarism and supply-side economics.