Mention and explain five reasons why the study of economics is important. – NABTEB QUESTION

i. To enable consumers make the best use of their resources so as to obtain maximum satisfaction.

ii. It guides firms and government in the allocation of scarce resources

iii. Economics provides the training ground for critical thinking

iv. The study of economics enables people to pick up a career in life

v. Economics creates a sense of objectivity in the individual thereby eliminating sentiments and partiality in making judgments.

vi. The knowledge of economics helps individuals to advise policy makers on the best economic policies to follow thereby helping to improve the economics well being of the society.

vii. The knowledge of economics provides a clear understanding of the interrelationships between the various units in the society.