Exercise 12. Answer the following questions.

1. What does economics teach people?

2. What does economics explain?

3. What is the first goal of economics?

4. Why are people’s lives concerned with the economy as well as with economics?

5. What is the second task of economics?

6. What economic issues do we come face to face?

7. Why do these economic issues affect us?

8. Why is studying economics worth people’s effort and time?

9. Why do people have different reasons to study economics?

10. Why is economics considered a training of clear and accurate economic thinking?

11. Why does economic reasoning become a part of a contemporary society’s everyday life?

12. What does economics mean for other people?

13. Why does economics teach people how to gain a living?

14. Why should people in the world of business require knowledge of economics?

15. What is a basic understanding of economics widely used for?

16. In what way do people use their basic understanding of economics?

17. Why does economics affect the quality of individuals?

18. In what way does economics help businessmen have profitable firms?

19. Why is economics important for governments?

20. Economics helps society to use its productive resources efficiently, doesn’t it?

21. Why is economics considered so important?

22. What are the ways economic knowledge help us in succeeding in our material welfare?

23. How can learning of economics help the young people to succeed in preparing for life?

Exercise 13. Text for additional reading and discussion.

Economics provides a logical, clear, and ordered way of examining problems that help individuals in some way despite the field of their activity. This way of economic thinking helps economics students understand why a large number of issues remain controversial, even among economists.

Economics withdraws a great deal of the necessary information from history, psychology, mathematics, philosophy, and a variety of other disciplines to prepare graduate students for questions ranging from household management to business decision making through such economic issues as how to reduce unemployment, control inflation, analyze tax policies, and to come face to face with problems such as productivity and environmental pollution. Economics students learn to solve such questions using methods of analytical reasoning and empirical research.

Equipped with an understanding of basic principles, the students learning economics are prepared to analyze problems and policies in different fields of economics such as money and finance, managerial economics, labor economics, consumer economics, public policy, international economics and so forth. Besides, new problems and questions are leading to the emergence of new fields of study in environmental economics, human resources economics and urban economics. Knowledge of economics will enable future economists intelligently explain and predict the effect of government policies, trends in home market as well as in international trade.

The study of economics provides an understanding of the business world in which all enterprises operate. Economics equips graduate students with the tools, skills and perception necessary to make well-considered business decisions. Decision making is an integral part of business. By applying economic principles knowledgeable businessmen will go out of their ways to gain maximum productive efficiency.

Since economics is such a big part of life, it is important that people fully understand it. It will help them make more informed decisions both as consumers and as voters.

Perhaps the most important advantage of studying economics is learning how to “think like an economist”. Economics is used in many fields of employment such as government, finance, business, administration, law and many others. The intensive study of economics provides a basis of thinking that will serve graduate students well in a variety of vocations. The ability to present and discuss ideas, concepts and arguments in a clear and accurate way, to evaluate decisions and the reliability of information, are the important gained skills that are valuable in a wide variety of careers.