Thinking like an Economist

Name Instructor Course Date Thinking like an Economist Thinking like an economist means be able to evaluate facts without allowing opinions or the logical fallacies to get into the calculations. Also, it means that a person has a skill for solving issues in the marketplace. Thinking like an economist helps to avoid making irrational decisions and improve the decisions which affect human lives, and it helps to understand the world. The theory of economics is all about the “idea of scarcity,” meaning that government, corporations, and individuals only have limited resources and must decide on how those resources are allocated. Students in the business program should understand the economic concept, which helps them to be able to assemble intellectual toolkit which can assist in making smarter decisions in personal and professional life. Understanding the economic concepts contributes to the first class of knowledge where it gives the students the tools for learning their economic world and be able to interpret the events which directly or indirectly affect them (Colman and Young 126). Also, students can gain a second class of knowledge for making some economical decisions such as buying products or getting a loan. Understanding economic concepts improves the competence of individuals, helps to make personal and social decisions about various economic issues which will be experienced over a lifetime. Students can learn the concept of supply and demand. Supply and demand help an ...