Question

Someone posted from a discussion question..... Respond to the posted

Economics has a big impact on one's daily life. It affects the job you have, the wage you earn, the taxes you pay, the groceries and necessities you buy and the luxuries you may want. One big way it affects daily life is something we have all experienced with the pandemic, the supply chain. I had never given it much thought before Covid. If I wanted something, I would go to the store and buy it and 99% of the time it was there. Covid taught us all what happens when normal is interrupted. For weeks stores were out of toilet paper and hand sanitizer with no projection of when it would be stocked again. People were hoarding all they could find. Canned goods, boxed dinners, rice and beans and even butter were also in short supply. Stores would receive minimal amounts of product and before they could get it all on the shelf, it was already gone. Stores put one item limits on items, it didn't matter if it was a 4 pack of toilet paper or a 24 pack. One was the limit. As I have watched the supply chain begin to right itself, I am still baffled by some of the things that just haven't caught up. Lysol spray is beginning to show up again, but Clorox wipes are still a rare find. I look forward to the day when normal shows back up.

My biggest take away from this class; Economics isn't boring when you have real life situations to relate it to. When I attended college the first time, economics was the class I avoided at all cost. However, learning about economics during an election year and a pandemic helped tie it to the real world. It helped it make a bit more sense and not be so boring. The discussions brought out so many points of view, it helped to see things from different angles as well.   

Moving forward from this class, I think I will better be able to understand the governments role in the economy, how they can encourage it or how they can manipulate it. I believe it will help me make more informed choices when voting. Before this class, I had always heard about Free trade agreements, tariffs and quotas. It never interested me enough to actually pay attention to it. I understand now how it works and fits together. I now know what the difference is between protectionism and globalization, or free trade, and how most countries prefer and benefit from globalization (Amadeo, 2020).

Answer 1

Economics is a study about the working of the economy. It studies about the allocation of resources which are scarce in nature and are needed to produce goods and services in huge amount to meet the needs of the people.

This allocation is very important in order to make sure that there is proper supply of the goods and services demanded in the market. If that is not done in the proper way, there will be difference in quantity demanded and supplied leading to change in the prices of the goods.

Government also plays a major role in the working of the economy. Taxes, subsidies provided by the government leads to change in production and consumption rate of the economy.