What is economics?
Q: What is economics?
A: Economics is the social science which studies economic activity, or how people make choices to get what they want. It has been defined as "the study of scarcity and choice".
Q: What does the word “economics” mean?
A: The word comes from Ancient Greek, and relates to οἶκος oíkos "house" and νόμος nomos "custom" or "law".
Q: How are goods and services distributed in an economy?
A: Economics studies what affects the production, distribution and consumption of goods and services in an economy.
Q: How do investment and income relate to economics?
A: Investment and income both relate to economics.
Q: When did economists start using models for their work?
A: The models used in economics today were mostly started in the 19th century. People took ideas from political economy and added to them because they wanted to use an empirical approach similar to the one used in the natural sciences.
Q: What inspired economists when creating their models?
A: Economists were inspired by political economy when creating their models, as well as wanting to use an empirical approach similar to that used in natural sciences.
