The Branches of the economy The most important are microeconomics, macroeconomics, international economics, financial economics, health, education, labor, business, agrarian, ecological, environmental and urban.
The economy Is the social science that is in charge of managing the resources of a certain area. Its Greek words that represent the etymology of the word are οίκος which means"home", and νęμoμαι which means"to administer", while the economy was conceived as the art of managing a home.
The economy consists of the administration of the manufacture, distribution, commodification and utilization of the resources, estates or services in a certain area. Economics is a science that regulates human transactions.
A clear and diversified example of economy occurs when some individual decides to go to the nearest store or store in search of a Coke.
In order for the product to reach the store, there had to be a whole process of collecting raw materials, manufacturing and distribution, to reach the buyer's hands.
All costs of resource collection, manufacturing, distribution and marketing can be influenced by different processes such as automation, market diversification, supply and demand, and other parameters that are relevant to the economic matter.
The importance of the economy lies in its ability to recognize market opportunities and to take charge of directing a country, company, organization or individual towards achieving the best possible monetary administration.
Main branches of the economy
The economy, depending on the objectives for which it is implemented, develops in a diversified way.
Here is a list of the main branches:
Microeconomics
Microeconomics is the branch of economics that studies the results of individual stocks in a given market.
It studies economic trends and the possible consequences of individual actions and the various factors involved in the costs of production and trade of a good or service.
It is the science that studies the social behaviors of small groups in relation to the purchase, sale, administration and transaction of resources between individuals and companies.
For example, if the Ford company increases the manufacturing prices of its cars, there will be fewer buyers. If a South American oil company stops exporting Petroleum , The price will increase because there will be less supply.
Microeconomics is responsible for explaining the variants of a given economic situation.
Macroeconomy
Macroeconomics is the branch of economics in charge of the study at large scales of the factors that intervene in the administration of a country or even of the world.
It works by measuring performance and behavior, as well as the structure of the economy as a whole.
It is responsible for studying indicators such as a country's gross domestic product (GDP), inflation, national income, growth levels, the unemployment rate and how these factors are involved in a country's total gains or losses.
For example, the unemployment rate in the macroeconomy is indicative of the number of people a company can hire, the higher the unemployment rate, the greater the number of people who are free and can be hired.
International economy
It is the branch of the economy that is in charge of the study of the transactions between the international markets, whether or not they are governmental.
The international economy dominates the migration, commercialization and investment factors at the international level.
Interchanges between borders, exchange rates between one currency and another, flows of goods and services, tariff payments, political economic movements and the elements of supply and demand between one country and another are all understood and implemented through the international economy.
Financial economics
It is the branch of the economy that tries to explain the risks and benefits of an uncertain investment.
The financial economy creates models that test the variables of a measure in search of establishing the best decision, with lower risks, that allows to obtain a greater profit of a product or service.
Health economics
It is the branch of the economy that evaluates the cost, production, consumption and behavior of individuals with respect to health or health care.
For example, the field of health economics is the study of people affected by smoking as well as other behaviors that affect health and health systems.
Economics of education
The economy of education encompasses everything related to educational programs in which financing and the provision of education through various educational schemes and policies stand out.
Labor economics
It is the branch of economy present in the interactions between employers and employees.
The labor economy is responsible for examining the consistent patterns of wages, jobs, and incomes.
In addition, the labor economy has coined important terms such as"human capital"that refers to the abilities of an individual and not to their work as such.
Business economy
The business economy is the branch of the economy that applies quantitative processes to determine the trends of a company with respect to the labor market, capital and the products or services that are offered.
Agrarian economy
The agricultural or agricultural economy, also known as agronomic, is the science derived from the economy that studies the possibilities, interaction and market in the production, distribution and consumption of food, mainly of culture, but also extending towards the ecological field and the policies Food.
Ecological Economics
Also known as bioeconomics or ecology, it focuses on the study, measurement and analysis of interactions with the Earth and seeks to emphasize the sustainability between human evolution and Ecosystems .
Environmental economics
Evaluates the monetary impact of environmental policies. It makes use of studies to determine how a certain action in the environment can cause a consequence in the financial sector.
Urban economy
Study the urbanizations and their main characteristics. This science covers the analysis of delinquency rates, housing, local government capitals, and other factors within the urban core, including households and businesses simultaneously.
References
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