Economics Assignment Help
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An overview of Economics
Economics is a social science that studies how corporations, individuals, the government, and other businesses allocate resources to meet their desired end results. It deals with production, distribution, and consumption of services and goods. Economics tries to explain how the entities mentioned above coordinate and organize their efforts to achieve optimum output.
Economics has a principal concept; human beings have unlimited wants but occupy a world of limited resources. It is for this reason that the concepts of productivity and efficiency are vital in this area of study. Economists usually argue that increased productivity and efficient use of resources can lead to a higher standard of living.
However, economics has been regarded as a dismal science. This term was coined by Scottish historian Thomas Carlyle in 1849 to criticize the liberal views of contemporary economists. Some sources suggest that Thomas was describing the Thomas Robert Malthus’ gloomy prediction of population growth outstripping food supply.
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Subdivisions of economics
According to our economics tutors, this discipline can generally be broken down into two:
This is the branch of economics that focusses on how firms, consumers, and individuals make decisions. Microeconomics analyzed specific aspects of human behavior to explain their response to price changes. Also, it highlights why government agencies, business organizations, households, or a single person demand certain goods and services at particular price levels. The concepts of microeconomics revolve around how individuals make financial decisions, trade with each other, and value goods. The topics under microeconomics include strategic game theory, uncertainty and risk, division of labor, cost of production, etc. You can get professional economics assignment help with any of these topics here at Statisticsassignmentexperts.com.
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Macroeconomics deals with the overall economy at both the international and national levels. It studies distinct countries, geographical regions, continents, or even the whole world. The topics covered under macroeconomics include fiscal and monetary policy, foreign trade, inflation and interest rates, unemployment rates, changes in Gross Domestic Product, etc. If you are struggling with assignments related to any of these topics, get in touch with us immediately. We have a team of economics tutors who can help you submit unique solutions within your deadline.
There is two typical economics school of thought. Our seasoned economics assignment writing experts have explained them below:
- Monetarist theory
Monetarists have favorable views on free markets. They see free markets as the most efficient way of allocating resources. They also argue that the best course for managing an economy is initiating a stable monetary policy.
- Keynesian approach
Keynesian theory contradicts the monetarist approach. It favors that an active government’s fiscal policy and believes that markets do not often allocate resources well on their own. It further argues that this will manage recessions and irrational market swings.
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These are detailed reports on a country’s economic performance. Government agencies and private organizations usually publish these reports periodically. Economic indicators, when released, have a considerable effect on fixed income, stocks, and forex markets. Investors heavily depend on economic indicators to judge economic conditions and guide their investment decisions.
Our economics homework helpers have highlighted the following as some of the economic indicators in the U.S. that are used for fundamental analysis:
- Gross Domestic Product
This is the broadest measure of the economic performance of a country. The gross domestic product provides the total market value of the services and goods produced in the country within a specified period. The preliminary report and the advance GDP report are often issued months before. Most traders and investors focus on these two reports because the final GDP report is considered a lagging indicator. This means that although it can confirm a trend, it cannot predict it. The GDP reports can be related to an income statement that is usually generated by public companies at the end of each year.
- Retail Sales
The department of commerce provides this report during the middle of each month. The retail sales reports provide the dollar value of all products sold in stores. It takes data from retailers across the country and tries to estimate the total products sold. These figures are used as a proxy of consumer spending levels. Consumer spending makes up almost two thirds of the GDP. For this reason, the retail sales report is primarily used in gauging the general direction of a country’s economy.
- Industrial production
This is a monthly report released by the Federal Reserve. It provides extensive information in the changes in production by factories, mines, and other utilities within the U.S. The capacity utilization ratio is one of the measures included in this report and is closely watched. The measure estimates the portion of productive capacity that is being used instead of staying idle in the economy.
- Employment data
The Bureau of Labor Statistics often releases employment data in their non-farm payrolls report. Generally, a high employment rate indicates a prosperous economic growth and vice-versa. Conversely, a sharp increase in employment in an overheated economy can also lead to inflation and depreciate the currency.
- Consumer Price Index (CPI)
This report is the benchmark for measuring inflation. It measures the level of changes in retail prices. The Bureau of Labor Statistics uses CPI to compare price changes month after month and year after year.
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- Applications to policy
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- Testing of Hypothesis
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- Macroeconomic equilibrium in goods and money markets
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