Economics is basically the theoretical and practical science of wealth production and distribution. It’s entirely based on different systems including:
- Buy and sell of goods as well as services
As for social science, it is concerned mainly with relationships and behavior of people, societies and even economics.
This is then applied to real world to be able to study and to analyze activities and at the same time, interaction among governments, markets and people.
Only 2 are what Matters
Despite the fact that there are different subcategories for economics, there are two prominent areas and these are macroeconomics and microeconomics.
This studies the dynamics between industries and individuals, which is basically the more focused study of macroeconomics.
It’s studying the entire economic activity of the market or country, hence the reason why it’s called “macro”.
Adam Smith is regarded as father of modern economics, making it a relatively modern discipline. In 18thh century, economics have developed the concept of classical or liberal economics. Since then, it has grown considerably and now deemed as a field and incorporating several other subjects which include geography sociology, law among others in developing collective understanding of economic systems that are in existence today.